- XRP price fell below a crucial support level on November 26, possibly unraveling a bearish forecast.
- The technical pattern suggests Ripple could see a 15% decline.
- To avoid the bearish outlook, XRP would need to rise above $1.07.
XRP’s price fell below an essential line of defense, opening up the possibility of further downside for Ripple. Moreover the cross-border remittance token is now struggling to test higher levels as selling pressure increases.
XRP price faces minor drop
On the daily chart, the price of XRP has slipped below the lower boundary of an ascending parallel channel formation. Signaling a negative outlook. The current chart pattern implies a 22 percent drop from the $1.03 trendline.
The support line provided by the Momentum Reversal Indicator (MRI) may be the first line of defense for the XRP price. The 61.8 percent Fibonacci retracement at $0.86 will be the next level of support. Ripple may fall lower to test the bearish objective of $0.79. Resulting in a 15% decrease, if investors continue to take profits.
If sell orders surge, the price of XRP might fall much further, exceeding the previously specified objective and reaching the 78.6 percent Fibonacci retracement at $0.70, which corresponds to the July 30 bottom.
According to the TRIN indicator, which monitors general market mood, there are significantly more sellers in the market than buyers.
If the bulls decide to intervene to reverse the bearish scenario, the 200-day simple moving average at $0.96. Additionally which coincides with the 50% retracement, will be immediate resistance.
XRP price may have a chance to restore its uptrend
If the price of XRP rises above the parallel channel trendline at $1.07, which corresponds to the 38.2 percent Fibonacci retracement, it may have a chance to resume its uptrend. However, near $1.11, where the 21-day, 50-day, and 100-day SMAs connect, a significant barrier may arise.
An increase in interest in Ripple might push the price of XRP higher, towards the $1.25 center border of the current chart pattern.