Ripple (XRP) and Cardano (ADA) Kicking Off Price Rallies? Market Analysis
Still in the grip of a fearful market a potential bounce-back is happening in crypto. Ripple (XRP) and Cardano (ADA) have made some modest gains so far on Wednesday. Is this the very beginning of a surge back to the upside?
$XRP retests descending trendline
Source: TradingView
When entering into a trade in $XRP it needs to be recognised that as far as big swing trades go, $XRP has already made huge gains. Big percentage increases from here are not so likely. That said, short-term trades are always on.
The $XRP price is currently up against the $2.87 horizontal resistance level. With the Stochastic RSI indicators on this time frame starting to reach the top, a breakout will need to happen soon. This would potentially allow the price to then consolidate above. If the price is rejected from here, a return to $2.80 or the $2.70 level are on the cards.
$3 is key resistance level
Source: TradingView
Looking at the $XRP price in the macro time frame of the weekly, what isn’t there to like? The price has come back down after emerging from the descending trendline, and has retested beautifully. That said, the price did make a very slight lower low. The bulls will need to make sure that a new all-time high cancels this out.
As can be seen in the chart, the $3 resistance is the absolute key to continued upside price action. If this level can be surpassed and held above, what remains of this bull market could be advantageous to $XRP holders.
$ADA at horizontal resistance
Source: TradingView
When looking at the short-term time frame for the $ADA price it can be noted that things do not appear to be particularly straightforward. A multi-year descending trendline that began in August 2021 is proving very difficult to get above. Several fakeouts have already taken place.
The price is not even at this trendline yet, and is battling with the resistance at $0.82. If this can be overcome, the next resistances of note are at $0.85, $0.88, and then the trendline itself. $0.79 is a good level of support below. A small double bottom could continue to provide the impetus to break the resistance.
Too much for $ADA bulls to do?
Source: TradingView
The weekly chart really puts things into perspective for those thinking to back $ADA over the longer term. With probably most of the bull market already behind us, for the $ADA price to be in this position does not bode well for the future.
In order to make any impact, at the very least the $ADA bulls need to push the price through the descending trendline, and then a higher high above $1.33 would begin to change the trend.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
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