XRP Price Prediction: Tests Ahead

The price of XRP has been declining since reaching a year-to-date peak of $0.7440 in March. Despite multiple attempts, the altcoin has not managed to surpass this local high and has instead been trading within a range bound by the low of $0.5643 on February 17 and the high of $0.6686 on March 18 for about a month and a half.

There is a likelihood that XRP’s price will test liquidity at the daily support level of $0.5386. This support level has held firm since February 15 and has been successfully tested multiple times. If the altcoin bounces off this support, it could fill the Fair Value Gap (FVG) on the daily price chart, ranging from $0.6185 to $0.6204.

The red bars below the neutral line on the Moving Average Convergence/Divergence (MACD) indicator support the idea of a liquidity test at this support level.

A daily candlestick closing above $0.6147, which represents the 50% Fibonacci retracement level of the rally from the low of $0.3147 on January 31 to the peak of $0.7440 on March 11, could invalidate the bearish scenario. XRP’s price is likely to encounter resistance at the upper boundary of the FVG at $0.6204 and at the daily resistance level of $0.6686, which has held strong for almost two months