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XRP Keeps Retreating

Dmitriy Gurkovskiy
The XRP position is worsening. Today the cryptocurrency is trading under pressure, around 0.3938 USD.

On the daily time-frame the ascending trend of the XRP has “stumbled over” a long-term resistance line. After a divergence formed on MACD, the price started declining until it broke through the local support line. It might imply further decline up to the long-term support line around 0.2990. Resistance line should be marked at 0.4785; breaking through this line will signal the start of a stable ascending trend.

On H4 the XRP tries to take hold at the lower projected channel. The short-term goal of the decline is the support area around 0.3525. Bearing in mind the Stochastic in the overbought area, a drop to 0.3980 is possible after reaching the local goal.

The financial world is not ready for new solutions, says Technical Director of Ripple David Schwartz in his interview to CB Insights. He states that the technical solutions by Ripple, such as xRapid and xCurrent, have solved the problem of inter-bank transactions, which was the major issue of the banking system SWIFT. However, banks are not too eager to implement new technologies, being conservative and slow by their nature.

Schwartz says that new solutions for payment systems are aggressive, swift, mobile and oriented on accelerated target-hitting. It helps save the time and money. Banks will adopt the new schemes sooner or later, but they are not ready yet.

The main problem is that the aspects of market regulation are not thoroughly worked out yet, so the bank ecosystem does not feel completely protected, which is understandable. At the same the very nature of digital assets and blockchain-based approaches is still immature, which also prevents banks from implementing modern technologies.

This year the XRP is rising in price slower than the leading currency BTC or other altcoins. It might be due to investors waiting for stronger fundamental catalysts that will provide for long-term rise of the XRP.

By Dmitriy Gurkovskiy, Chief Analyst at RoboForex

Disclaimer

Any predictions contained herein are based on the authors’ particular opinion. This analysis shall not be treated as trading advice. RoboForex shall not be held liable for the results of the trades arising from relying upon trading recommendations and reviews contained herein.

This article was originally posted on FX Empire

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