Crypto Update: Surging Ripple Leads Strong Rally, Tops $0.50

The last 24 hours saw a much-awaited bullish shift in the cryptocurrency segment, as finally, the rally of a major triggered a broad and sustained move in the other top coins as well. Ripple surged by 50% after the initial rally of the bear market lows, and it really took off after yesterday’s buy signal in our trend model, topping the weaker $0.3750 resistance level and the very strong long-term zone near $0.42, which also marked the dominant declining long-term trendline.

XRP/USDT, 4-Hour Chart Analysis

Despite the strong rally, a long-term trend change is not confirmed yet, and traders should reduce their positions here, as at least a re-test of the key zone near $0.42 is very likely following the surge, with resistance ahead at $0.54, $0.575, and $0.64. With the move, XRP also got close to take over Ethereum as the second largest coin, with currently around 10% separating the two currencies in market cap.

BTC/USD, 4-Hour Chart Analysis

Bitcoin is also significantly higher today, although the 5% move is dwarfed by Ripple 50% jump. BTC triggered a buy signal overnight, rallying past the $6500 resistance level, and it is currently testing the zone $6750.

The long-term signal is still only neutral, and although the current broad rally is encouraging, the segment is still not out of the woods. Further resistance zones are now ahead at $7000 and between $7200 and $7300, while support below $6500 is still found at $6275, $6000, and near $5850.

Altcoins Still Mixed but Rally Gaining Breadth

ETH/USD, 4-Hour Chart Analysis

Ethereum moved up to the recent swing high and got close to the key resistance level at $235 once again amid the broad rally, but for now a clear break to confirm a new upswing is not completed. That said, the coin is still on a short-term buy signal, and given the improvements in the segment, traders should hold on to their positions here.

A sustained move below $200 would still warn of a re-test of the lows near $170, but a move above $235 could lead to a test of the $260 resistance level and the strong $275-$280 zone.

XMR/USDT, 4-Hour Chart Analysis

The outlook for the major altcoins improved, but there are still relatively weak coins, with the likes of ETC, IOTA, LTC, and NEO still not being in good technical positions. That said, Stellar, Cardano, Dash, and EOS also joined the rally, and Monero maintained its short-term buy signal too.

XMR is still below the recent swing low and the $125 resistance level, and well shy of the key long-term zone near $150, but the stability of the coin is encouraging.

Dash/USD, 4-Hour Chart Analysis

After the bullish consolidation period below $200 that we pointed out, Dash moved above the key level following Ripple and the broader market higher. Dash could be part of a bullish leadership, should the current move continue, and although the long-term downtrend is still intact, the coins is now on a short-term buy signal in our trend model, with further support at $190 and $170 and resistance ahead at $215, $225, and $265.

Featured image from Shutterstock

Disclaimer:  The analyst owns cryptocurrencies. He holds investment positions in the coins, but doesn’t engage in short-term or day-trading, nor does he hold short positions on any of the coins.

Author:
Trader and financial analyst, with 10 years of experience in the field. An expert in technical analysis and risk management, but also an avid practitioner of value investment and passive strategies, with a passion towards anything that is connected to the market.

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