Ripple [XRP] Price Analysis: Will XRP Find a Bottom at $0.3 Amid the Selloff?

• XRP/USD has spent most of the last couple of weeks battling to shake off the bear pressure.
• There must be a catalyst to catapult XRP above the critical $0.34 supply area.

Ripple, the world’s third-largest cryptocurrency has continued to depreciate in value since the selloff in the last week of June. The support established in the first week of July between $0.3600 -$.3800 failed to hold during the selloff on July 10. XRP/USD has spent most of the last couple of weeks battling to shake off the bear pressure in a bid to escape the bear range between $0.28 (key support area) and $0.34 (critical supply area).

Meanwhile, the rejection from the supply area sent XRP towards the vital area at $0.30. Buyers understand that bears are likely to push hard if the price slides below this level. The possible support target is $0.28 (July lows), however, failure to find support at this level could result in more declines towards $0.25.

At press time, Ripple is exchanging hands at $0.3059 with the upside currently limited by the 50 Simple Moving Average (SMA) 4-h as well as the descending trendline resistance. A correction beyond $0.32 hurdle will allow the bulls to focus on attacking the critical supply area at $0.34.

XRP/USD 4-h chart 

XRP Price Chart | Source: TradingviewTechnically, Ripple’s prevailing trend has a bearish tune to it with just enough buying power to defend the vital support areas. There must be a catalyst to catapult XRP above the critical $0.34 which will give crypto a boost towards $0.4 before end of July.

The Moving Average Convergence Divergence (MACD) had recovered above the mean line to levels around +0.0047 in the 4-h timeframe but has dived back into the negative. There is an increasing negative divergence at -0.0052 suggesting that the bears have the upper hand in the coming sessions.

Ripple Key Technical Levels

MACD 4-h chart: Increasing negative divergence points toward rising selling pressure.

Moving averages: 50 SMA under 100 SMA; sellers have more influence.

Key Support Areas: $0.30 and $0.28

Critical Hurdles: $0.32, $0.34 and $0.38.

Disclaimer The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.