Ripple has seen some extraordinary price growth over the past 7 trading days, amounting to over 42%, which has allowed the cryptocurrency’s price to rise above the $0.40 level once again. The recent price surge has allowed Ripple to outstrip both Bitcoin and Ethereum in growth over the past 7 trading days.
Ripple has seen a further 5.6% price rise over the past 24 hours, which has now seen the price for the coin rise to $0.42.
The Ripple project continues to hold the #3 ranked position by market cap, as it presently holds an $18.02 billion market cap value.
Ripple is certainly a project that is hard to ignore, with projects such as the World Bank and the IMF involved. Ripple also recently reversed against Bitcoin, which has helped the recent price increase. Ripple has been consistently falling against Bitcoin all year from a high around 9,500 SATS, recently hitting a low around 4,000 SATS. The ETH/BTC market similarly found support at 4,000 SATS and has now rebounded back above 5,300 SATS.
In this article, we will take a look at the potential for Ripple to rise and reach the target level of $1.00 before the start of the year 2020. For Ripple to rise and reach the $1.00 target level, the cryptocurrency will need to increase by a whopping 134% from today’s price. The last time Ripple was at $1.00 was during February 2018, over 15 months ago.
Let us take a look at price action for Ripple and highlight some areas of resistance on the way up toward $1.00.
Ripple Price Analysis
XRP/USD – MEDIUM TERM – DAILY CHART
What Has Been Going On?
We can see that throughout 2019, Ripple has been trapped in the range between $0.39 and $0.28. The cryptocurrency has been unable to break beyond this range and has been trading sideways for this entire period.
However, the recent price surge has now allowed XRP/USD to break above the 100-day moving average level and continue to smash further above the $0.40 upper boundary of the price range. We can see that Ripple has now climbed further beyond $0.40 to where it is currently trading at resistance around $0.4235, provided by a short-term 1.272 Fibonacci Extension level (drawn in green).
What Is the Current Short and Long-Term Trend?
Presently, the short-term trend is now bullish after the break above the 100-day moving average and the $0.40 resistance level. For this bullish trend to be invalidated, we would need to see a fall of XRP/USD beneath the $0.35 level.
In the long term, the trend is still not bullish until price action can rise 2x from the bottom price. If we take $0.28 as the bottom for XRP/USD, then the market cannot be considered bullish until it breaks above the $0.56 level.
Where Is the Resistance on the Way Toward $1.00?
If the buyers can continue to climb further higher above $0.45, we can expect immediate resistance above to be located at the short-term bearish .618 Fibonacci Retracement level (drawn in red), priced at $0.4617. This bearish Fibonacci Retracement level is measured from the November 2018 high to the December 2018 low. Above $0.47, further resistance is then expected at the $0.48 and $0.5 levels.
If the buyers continue above $0.5, further resistance is then located at the short-term bearish .786 and .886 Fibonacci Retracement levels (drawn in red), priced at $0.5098 and $0.5384, respectively. If the bulls can continue to break beyond $0.56, then the long-term trend can be considered as bullish.
Further resistance toward the upside is then expected at $0.62 and $0.70, which is provided by a longer-termed bearish .5 and .618 Fibonacci Retracement levels (drawn in blue) respectively. This longer-termed bearish Fibonacci Retracement level is measured from the April 2018 high to the August 2018 low. Above $0.70, higher resistance is then located at $0.80, $0.85, and $0.90, which is provided by a bearish .886 Fibonacci Retracement level (drawn in blue).
If the buyers can clear the $0.90 level, they will be clear to make an attempt at the $1.00 target level.
Conclusion
Increasing by 134% and reaching $1.00 before the end of the year will not be an easy task for Ripple. The cryptocurrency will need to overcome strong resistance at $0.50, $0.60, $0.80, and $0.90 before being able to make an attempt at $1.00. However, if the recent reversal and recently established bullish pressure can continue within the XRP/BTC market, this will allow XRP/USD to also travel much further higher. This combined with the ever-expanding list of high profile partnerships with Ripple should help XRP/USD reach $1.00 before 2020.
