In our last Ripple Price update we saw price rally after bouncing off of the $1.60 area nicely, creating a possible opportunity for the bulls to take a long position. As we have seen the crypto marketing beginning to rally and pushing the market cap, the psychological effect this had on the possibility of a breakout was on every traders mind.
Price bounces off of $1.60 structure
However, after the first bullish candle we were unable to see any momentum to even test the supply zone @2.50 and we start seeing the candles gravitate back towards the $1.60 structure. This presents another possibly entry point for traders as the last time this occurred, we were able to take a long position with a target pip game of half the distance between the 2 zones at $2. Wait until a confirmation of a rejection of the demand zone before entering a trade, or if price breaks past it or a bearish run.
Candle momentum reduces as price cannot even test the $2.50 supply zone, pushing it down towards the $1.60 structure.
Tip: How to determine what is a Supply or Demand Zone
The video below is a great tutorial on how to draw supply and demand zones to determine potential reaction points.
