XRP price to see some notable near-term downside, as low as $ 0.212 before it can surge any higher

By Selena On Aug 7, 2020

XRP price has been stuck in consolidation for the past few days as it is trading just above $ 0.30. The cryptocurrencies have been unable to break through the massive resistance, which was facing between $ 0.31 and $ 0.32. Furthermore, these levels appear to be once again forming a strong correlation to Bitcoin and the synthetic cryptocurrency market. That being said, it may be unable to post any strong rally until the rest of the market further extends its ongoing uptrend.

XRP price is forming a bullish technical pattern as the consolidation period extends

XRP will likely see some notable short-term declines before it can move higher. This decline can result in as low as $ 0.212 – marking a near full recovery of its recent gains. However, its uptrend is likely to remain intact despite this drop and may even be necessary for it to continue climbing higher in the short term.

Earlier this week, the bulls sent XRP soaring to the highs of $ 0.34, but this movement was not supported by sufficient buying pressure to keep it above the resistance it faced at $ 0.32.

XRP has been consolidating below this level ever since, and it could continue to trade sideways until the entire crypto market regains its more significant direction. Both Bitcoin and Ethereum are currently consolidating below their key resistance levels. Hence, where XRP moves next will likely depend on how they eventually react to their short-term resistance levels.

Analyst MoonOverlord stressed that the embattled token has been able to form a clear bull flag over the past several days and weeks. The resolution of this pattern could send it surging higher.

Going to have to buy this scam aren’t I? $XRP pic.twitter.com/P0sx6uvDCd

— moon is tweeting (@MoonOverlord) August 5, 2020

While talking about XRP’s short-term outlook, prominent cryptocurrency analyst Michael said XRP would see a sharp pullback before it can extend its uptrend. He notes that this could send it as low as $ 0.21 in the coming days.

He stated:

“XRP: Buy the dip zones: $ 0.212 and $ 0.245. Next resistance zone if this massive one breaks: $ 0.40. I doubt we’ll continue rallying, but I will be delighted to buy the dip.”

Its next trend may depend in part on the aggregate market, but it’s also possible that a massive resistance at its $ 0.32 will cause a sharp drop.

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