On Saturday, XRP fell 1.34% to end the day at $0.37448. News of Credit Suisse on the brink of collapse tested investor confidence, as UBS and Credit Suisse began talks to avoid another global financial crisis. Technical indicators remained bullish, indicating a return to $0.40.
On Saturday, XRP fell 1.34%. Partially reversing a 3.83% gain on Friday, XRP ended the day at $0.37448. Despite the bearish session, XRP retested the $0.39 level for the first time since March 9.
A bullish start to the day saw XRP rally to an early high of $0.39041. XRP broke the first major resistance level (R1) at $0.3872, before falling to a late afternoon low of $0.37040. However, moving away from the first major support level (S1) at $0.3675, XRP revisited the $0.3819 level, before falling back into negative territory.
XRP Tracks BTC in the Red as Banking Crisis Deepens
It was a quiet Saturday, with no updates on the ongoing SEC vs. Ripple case for investors to consider. As investors await rulings on the Hinman Papers and Summary Judgment Response Reports, news from the banking industry continued to grab the headlines.
News that the Swiss cabinet held a crisis meeting to discuss the future of Credit Suisse Group AG (CS) tested buyers’ appetites. On Saturday, reports of UBS AG (UBS) asking the Swiss government to cover around $6 billion in costs to acquire Credit Suisse Group AG raised alarm bells.
Events on Saturday demonstrated that the dust from the collapse of Silicon Valley Bank and Signature Bank (SBNY) has not yet settled.
However, XRP and the broader crypto market showed resistance, as the banking sector is affected by bank runs. This week, the cryptocurrency market found favor with investors looking for alternative means of storing money.
With UBS AG and Credit Suisse Group AG in talks to avoid catastrophe on Monday, XRP and the broader crypto market found investor support this morning. BTC is up 0.88% to $27,151, with total crypto market capitalization up 0.99% to $1.125 billion.
XRP Price Action – Technical Indicators
XRP rose 0.76% to $0.37731. A mixed start to the day saw XRP fall to an initial low of $0.37392, before rising to a high of $0.37827.
XRP needs to move through the $0.3784 pivot to target the first major resistance level (R1) at $0.3865, and Saturday’s high of $0.39041. A return to $0.3850 would signal a bullish session. However, the broader crypto market and SEC vs. Ripple talk would need to support a breakout.
In the event of a prolonged rally, XRP would likely test the second major resistance level (R2) at $0.3984, and resistance at $0.40. The third main resistance level (R3) sits at $0.4185.
The 50-day EMA reached down towards the 100-day EMA, and the 100-day EMA turned down to the 200-day EMA. The EMAs delivered bullish signals.
A move through the 200-day EMA ($0.37795) would support a break of R1 ($0.3865) to target R2 ($0.3984) and $0.40. However, a drop in the 100-day ($0.37421) and 50-day EMA ($0.37305) would bring S1 ($0.3655) into play. A drop through the 50-day EMA would send a bearish signal.
By Audy Castaneda