XRP finds support at $1.30, eyes the 50-day EMA level

Bitcoin, Ether, and XRP are all in the green as the broader cryptocurrency market slightly recovers from the poor start to the week.

Ripple’s XRP is the second-best performer among the top 10 cryptocurrencies by market cap, behind Ethereum’s Ether. 

XRP is now trading at $1.48 after establishing support around the weekly level of $1.30.

The improved derivatives data in the last 24 hours also supports a possible bullish move for XRP. 

XRP approaches $1.5 despite weakening retail demand

XRP is up by nearly 2% in the last 24 hours and is now approaching the $1.5 psychological level.

The rally comes as the broader cryptocurrency market has performed positively since Tuesday.

However, XRP’s derivatives data shows weakening retail demand despite the price surge.

XRP’s futures Open Interest (OI) now stands at $2.47 billion and has been declining since opening the week at $2.56 billion.

The decline undermines last week’s optimism that propelled the price to $1.67 on Sunday. 

Currently, XRP’s OI remains significantly below the record high of $10.94 billion in July.

The declining OI indicates that traders are closing their positions and refusing to open new ones. 

This leaves XRP vulnerable to market pressure and increases the risk-off sentiment.

According to CoinGlass, traders are increasingly piling into short positions, suggesting that they are not confident in XRP’s short-term bullish outlook.

XRP’s OI-Weighted Funding Rate reads -0.0078%, remaining within the negative region since the Saturday rally.

With no strong momentum in the market, XRP will continue to suffer from price fluctuations, with the bears still in control. 

XRP technical forecast: XRP finds support around the lower trendline boundary

Similar to BTC and ETH, the XRP/USD 4-hour chart remains bearish.

XRP’s price surged past the lower trendline boundary of a falling wedge on Saturday but lost its momentum and dipped below $1.5 the next day. 

XRP has now found strong support around the weekly level of $1.30 and is currently trading at $1.48 per coin.

Its price has stabilized around this region so far this week, but could rally higher in the near term.

If the bullish recovery fails, XRP could record further losses in the near term and extend the decline toward the weekly support at $1.30.

Similar to the two other leading coins, XRP’s momentum indicators have switched bullish on the 4-hour chart.

The RSI of 54 is above the neutral 50, indicating a building bullish pressure.

The MACD line also signals underlying bullish momentum.

If the bullish trend grows stronger and the lower trendline boundary holds as support, XRP could rally towards the 50-day Exponential Moving Average (EMA) at $1.71.

The $1.958 resistance level could also come into focus if the broader market maintains the recovery effort.