Daily Chart
The Daily Chart showed XRP/USD sitting below the 50-day EMA ($0.4835) while holding above the 200-day EMA ($0.4570). The mid-week pullback also saw XRP/USD fall through the upper level of the $0.4675 – $0.4615 support band, sending bearish near-term signals.
Notably, the 50-day EMA narrowed to the 200-day EMA and reflected bearish momentum.
Looking at the 14-Daily RSI, the 41.77 reading signaled a bearish trend, aligned with the 50-day EMA and supporting a fall through the lower level of the $0.4675 – $0.4615 support band and the 200-day EMA ($0.4570).
4-Hourly Chart
Looking at the 4-Hourly Chart, the XRP/USD faces strong resistance at the $0.4675 psychological level. XRP/USD sits below 50-day ($0.4793) and the 200-day ($0.4854) EMAs. Significantly, the 50-day EMA pulled back from the 200-day EMA, signaling a fall through the lower level of the $0.4675 – $0.4615 support band.
XRP/USD must move through the upper of the $0.4675 – $0.4615 support band and the 50-day EMA to target the 200-day EMA and the $0.4925 – $0.5000 resistance band.
The 14-4H RSI reading of 37.63 indicates a bearish stance and aligns with the EMAs, with selling pressure outweighing buying pressure. Significantly, the RSI signals near-term bearish momentum and a look at sub- $0.4575.
Binance-Related News Continued to Weigh Amidst SEC v Ripple Silence
It was a quiet Thursday session. There were no Court rulings from the ongoing SEC v Ripple case to draw interest. The lack of Court rulings left XPP in the hands of the crypto news wires and the US economic calendar.
Hotter-than-expected ADP nonfarm employment change numbers fueled bets on a more hawkish Fed, weighing on riskier assets. The all-important ISM Non-Manufacturing PMI also impressed, increasing investor bets on consecutive Fed interest rate hikes in July and September.
However, Binance news added to the bearish mood. Reports of senior executives leaving the firm weighed as regulators widened the net on the Binance business. News of the FBI searching the house of Kraken CEO Jesse Powell also took investors by surprise.
The Day Ahead
It is a busy Friday session. US economic indicators will provide direction this afternoon. The US Jobs Report could cement a July rate hike and raise bets on a September move.
However, the SEC v Ripple case will remain the focal point, with SEC and US lawmaker chatter, SEC v Binance and Coinbase (COIN)-related news also needing consideration.
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