AVAX/USD has seen its value slide in early trading this morning, as the cryptocurrency fell through the key support and continued to stumble.

As of this writing, AVAX/USD is trading below the 26.00000000 value and its slide lower was intense after breaking 27.00 USD. Nervous trading in the broad cryptocurrency market is widespread. Avalanche has not been able to produce a legitimate reversal higher and the inability of AVAX/USD to fight its way off of support level may be troubling for speculators who are concerned about what will happen next.

Intriguingly AVAX/USD has not broken through early August 2021 values with a sustained penetration yet. The reason why this may be technically important is because many of the other major cryptocurrencies have pushed lower than their prices seen in August of 2021. AVAX/USD is still fighting these values, but this morning’s trading results shows that Avalanche may be fragile. If AVAX/USD falls below these August 2021 prices it could set off alarm bells among its backers.

If price velocity remains high in AVAX/USD and its values continue to challenge support levels, another stronger sell off may be demonstrated.  Behavioral sentiment in the cryptocurrency market is nervous and speculative buyers appear in short supply still. If AVAX/USD doesn’t reverse higher and is not able to maintain a price above the 26.00000000 this could be viewed as a negative signal.

On the 23^rd of May, AVAX/USD was able to trade near the 33.00000000 juncture, but since then Avalanche incremental selling has continued to break through support levels. Yesterday’s trading took AVAX/USD lower and when the 27.00000000 mark began to be flirted with choppy trading ensued. When this value was broken lower this morning, the price of Avalanche did see increased trading volume.

The low seen early today was around the 25.65000000 level, and if this level should come into sight again and actually falter, another round of violent selling could ensue. AVAX/USD is trading within rather weak territory. If a contrarian bullish trader believes Avalanche has been oversold and is looking for slight speculative moves higher, they should use strict stop losses in case the market goes against their wagers.

Speculators who remain skeptical about the current value of AVAX/USD in the short term may want to remain sellers. Conservative traders should use existing nearby support levels as their ignition points to look for reversals lower. Trading in AVAX/USD has been volatile this morning and this may continue throughout the day.

Avalanche Short-Term Outlook

Current Resistance: 26.75000000

Current Support: 25.25000000

High Target: 28.96000000

Low Target: 18.68000000

XRP/USD has moved lower and is above strategic support ratios, which if proven weak could spark additional nervous selling for the digital asset.

As of this morning, Ripple is trading below the 41 cents level. A high with of nearly 0.42750 was seen yesterday, but a wave of strong selling in the broad crypto markets ignited downward movement in Ripple. A low of nearly 40 cents was challenged as XRP/USD slid quickly; the price velocity of the move is troublesome from a technical perspective.

While XRP/USD was able to hold back the selling and did demonstrate a slight reversal higher, this move has not caused a strong parade upwards.  Ripple remains within a price ratio of long term lows and speculators who are glancing at charts need to pull out five year charts to gather a perspective. On the 12^th of May XRP/USD did hit 35 cents and briefly flirted with the 33 cents juncture. On the 13^th of May a strong reversal higher was sparked to around 46 cents. Prices from February and March of 2021 are being tested as support levels now.

However since hitting this mid-May high XRP/USD has been choppy and incrementally traded lower again. Yesterday’s low challenged prices last seen on the 20^th of May. Nervous conditions remain evident and if another flourish of strong selling hits the broad cryptocurrency market there is reason to suspect current support levels will falter in XRP/USD. If Ripple falls through the 40 and half cents ratio, speculators will have their eyes on the 40 cents mark again.

Behavioral sentiment suggests that the 40 cents mark is important. Yesterday’s climb from this lower depth was significant, but if the value is touched again there is a likelihood that 40 cents could crumble, and the 39 and 38 cents realms will become a focus. Price velocity was apparent in the broad cryptocurrency market yesterday. After being able to establish short term highs over the weekend, the major digital assets witnessed a strong and sudden selloff and XRP/USD could not escape this fast decline.

Some speculators may believe Ripple has been oversold, and they may be proven correct in the long term. However, day traders may want to continue to look at the current bearish trend and remain speculative sellers. The notion that XRP/USD is going to produce an outlandish climb higher and not retest current lows is not probable in the near term. Current support levels do look vulnerable, and speculators who want to wager on further downside action with selling positions cannot be blamed. Shorting XRP/USD when it comes close to existing resistance may be a solid tactic short term.

Ripple Short-Term Outlook

Current Resistance: 0.41190

Current Support: 0.40127

High Target: 0.42360

Low Target: 0.38190