XRP suffered massive losses during the previous intraday session. It started the day at $0.59 but experienced a significant spike in selling pressure, resulting in a decline to $0.56. It closed with losses exceeding 4%.
The most recent drop shows the end to the three-day uptrend that saw the coin surge to briefly flip $0.60. Nonetheless, it lost all the gains it accumulated on Friday.
The losses continued into the current intraday session, as XRP retraced to a low of $0.55. However, it rebounded and is now exchanging at $0.57.
The cause of the most recent decline is a subject of speculation. Nonetheless, the losses extend to the traditional stock market, as large-cap shares also saw significant losses. For example, Apple Inc. dropped by over 2%, while NVIDIA saw similar losses.
The spillover means that the cause of the dip is most likely an issue with the macroeconomy. However, indicators point to XRP resuming its uptrend.
XRP Will Retest $0.60
A closer look at the 1-day chart indicates that the altcoin had a golden cross yesterday. The 50-day Moving Average intercepted the 200-day MA and is still on the uptrend. Traders celebrate such events as they indicate the continuation or resumption of an uptrend.
It remains to be seen if the same will happen this week. Other metrics, like the moving average convergence divergence, are still on the uptrend. The 12-day EMA has maintained its upward trajectory since the divergence and is showing no signs of halting amidst the small declines.
Additionally, the altcoin is trading above the 50-day EMA, which is a bullish sign. With all indicators pointing to the short-term downtrend, XRP is gearing to flip critical levels.
One such is the $0.60 resistance. The altcoin tested this critical mark on Saturday but failed to flip it decisively. The bulls will look to build momentum above $0.56 before breaking the highlighted mark. It may continue upwards and retest the $0.62.
