XRP Achieves Golden Cross on Four-Hour Chart

Achieving a golden cross on its four-hour charts is a significant technical milestone for XRP.

When a 50-period moving average or other short-term moving average crosses over a 200-period moving average, it is known as a golden cross and is often taken as a bullish indication.

Bullish Signal or False Hope?

Indicating potential short-term price movement, a golden cross, particularly on a four-hour chart, is seen as a precursor to a bullish mood. But golden crosses aren’t always a sure thing; other variables like trade volume, macroeconomic conditions, and general market movements typically determine whether or not they work.

The question of whether this signal may still drive a bullish turnaround is raised by the fact that XRP’s price has decreased by about 5% in the last 24 hours during this technical pattern.

In spite of the golden cross pattern, XRP’s price has dropped about 5% in the past day. The price of XRP has dropped 2.81 percent today, to $0.582, as of this writing.

Profit-Taking May Stall Further Gains

XRP hit a high of $0.618 on Sunday, but the price fell to $0.57 today as bulls failed to maintain the gain.

Per U.Today, those that bought XRP at a discount may be cashing in on their gains following the recent price hikes. Even when there are favorable technical indicators, the price may temporarily fall due to profit-taking.

Key Support Levels Crucial for Sustaining Bullish Momentum

Holding above key support levels may be crucial for XRP in the days to come. Indicative of the strength of the golden cross as a bullish indication would be if it keeps a stable base despite the price reduction.