The encrypted market has clearly warmed up this week and the panic and greed index has returned to the “extreme greed” zone. According to external sources, the XRP performed well in this round, with a cumulative increase of approximately 46 per cent over seven days and a market value of $91 billion, but after a rapid upturn, prices began to fall back.

According to the article, the XRP disk once fell from a high of $1,505 to a low of about 2 per cent in the day near a high of $1,455. Of the top 10 encrypted assets, XRP is not the only currency to be reversed, but the decline is relatively small.

There was resistance after August.

In terms of movement, the XRP was under overall pressure from April to July, and was in the vicinity of $1 in early August. Prices then rebounded rapidly, increasing cumulatively from low levels by about 55 per cent and touching the $1.55 line.

Foreign media mentioned that the trend intensity indicator ADX had risen to 44.8, suggesting that the round was not a weak rebound, but a strong unilateral movement. However, after a rapid pull-up, the proximity of $1.55 became a temporary upper resistance.

The bottom-up structure has not been reversed in the medium term

According to the article, the 50-day average of XRP is still below the 200-day average and the market usually views this pattern as a “cross of death”. This means that, despite the larger rebound in August, the down-line structure has not been completely broken in the medium term.

At the same time, it was stressed that such signals themselves were lagging. In other words, the recent increase has pushed the XRP price back on multiple lines, but the repair of the average structure will not be completed immediately. Therefore, the further continuation of the current rebound will depend on the repositioning of prices to critical resistance positions.

Concerned about $1.5507 and $1.4342

According to the article, if the XRP were to re-position and secure $1.557, it would be possible to follow up with $1.5824 and $1,6227.

However, if the price falls by $1,4342, the current recovery may be weaker, the market or retest the 1.40 dollar area, or even look back at the level of $1 near the starting point of the current round.

Overall, the current baseline judgement of the media is cautious. Prior to the recovery of $1.507, it is more likely that the XRP short-line will convulse around the US$ 1.4342 before deciding on the way forward.