XRP Must Clear Three Levels to End Downtrend
XRP has been in a year-long downtrend, and to break through it, the cryptocurrency must clear three levels. Currently trading near $1.10, XRP is down about 66% over the past year.
The first level standing in the way is just $1.14, which is only 4% above its current price. This is the 50-day moving average, a key indicator of short-term trends. The price has been below this line since mid-July, and clearing it would be a significant milestone.
However, even if XRP manages to climb above $1.14, it still wouldn't necessarily mean that the downtrend is over. The 100-day moving average is at $1.22, which is another 7% above the current price. This level has been out of reach for months, and reclaiming it would require sustained buying pressure.
The final hurdle is the 200-day moving average at $1.42. This level has been a benchmark for traders, marking the dividing line between a bull market and a bear market. XRP has spent seven months below this level, and every rally in that time has failed to change it.
To turn the trend around, XRP needs to hold above each of these levels long enough to drag the shorter-term moving averages up through the longer-term ones. This would require a sustained period of buying pressure, not just a single strong week.