Ripple (XRP) prices are ending August on a negative note, and recent Bollinger Band readings suggest the token may lack the momentum typically seen before a rally. 📈
Weekly charts show that XRP has declined from early summer highs near $3.60 to hover just above $2.80. The middle band, often used to determine price direction by traders, is trending downwards.
This downward slope signifies a weakening trend overall. The daily time frame further confirms this trend. For most of August, the XRP price has been confined below its midline, with each attempt to break above $3.10-$3.20 getting rejected, leaving the price action closer to the lower band, where moves often indicate weakness rather than strength.
While the range has narrowed, it’s not pointing towards new upside potential. 📉
Additional insights from shorter timeframes: XRP is on a slow decline, nearing the $2.70 area. However, attempts to rebound are quickly stifled when they reach the midline barrier. Even on the 1-hour chart, where sudden reversals often appear, there’s more of a gradual trend along the lower edge than any meaningful bounce.
Overall, these signals suggest market struggles with attracting buyers at higher levels. If the lower band near $2.70 breaks through, the next area of interest is closer to $2.40. On the other hand, if it reclaims the $3.00 zone, it would indicate a notable shift in strength for XRP.
Currently, XRP’s Bollinger profile leans more towards caution than optimism. As September trading begins, sentiment seems defensive and cautious.