XRP and the aggregated <a class="wpg-linkify wpg-tooltip" title="
” href=”https://www.newsbtc.com/dictionary/altcoin/” data-wpel-link=”internal”>altcoin market is currently caught within a consolidation phase as Bitcoin struggles to gain any decisive momentum.
It does appear that these tokens are awaiting more directionality from BTC before they make any sizeable movements. This has, in turn, caused smaller altcoins to also fall into bouts of sideways trading.
Although it remains unclear as to where the market may trend next, XRP’s recent technical developments indicate that any market-wide upside could allow it to enter a full-blown moon mission.
One analyst explained in a recent tweet that the cryptocurrency was able to reclaim a crucial technical level that it had previously broken below.
Its ability to reclaim this level and confirm it as support does indicate that upside may be imminent in the near-term.
Whether or not it launches higher, however, still likely remains primarily premised upon whether or not the rest of the market can show continued signs of strength. This could all depend on Bitcoin’s reaction to its $11,000 resistance.
XRP Stagnates as Bitcoin Fails to Surmount $11,000 Resistance
At the time of writing, XRP is trading down over 2% at its current price of $0.25. This is around the price at which it has been trading throughout the past several days.
It is important to note that this marks a notable rise from its weekly lows of $0.23 set just a few days ago when the aggregated market faced a sharp selloff.
This selloff caused BTC and the rest of the cryptocurrency market to post some losses, but most digital assets have since recovered.
XRP is now ceding some of the gains seen in the time following this movement, being unable to hold above $0.25.
Here’s Why the Token Could be Poised to Push Significantly Higher
While speaking about XRP’s current technical outlook, one analyst said that it remains well-poised to see further upside, despite its recent weakness.
He specifically points to the cryptocurrency’s BTC trading pair, noting that it was just able to reclaim a key level.
“XRP on both pairs looks good but using this LTF chart for reference. Clear deviation and reclaim taking place. Make way for Moon No target because I’m building a position for Swell and will re-evaluate as we get closer. Market conditions much different,” he said while pointing to the below chart.
Image Courtesy of Pentoshi. Chart via TradingView.
How Bitcoin continues responding to the resistance that sits just above where it is currently trading should have some serious implications for its near-term outlook.
Featured image from Unsplash. Charts from TradingView.