XRP Price Moves Higher—But Is This Just a Temporary Bounce?
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XRP price started a fresh decline below the $2.50 and $2.250 support levels. The price is now recovering losses from the $2.050 support zone.
- XRP price started a fresh decline below the $2.40 level.
- The price is now trading below $2.40 and the 100-hourly Simple Moving Average.
- There is a key bearish trend line forming with resistance at $2.450 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair might continue to move down unless there is a close above the $2.450 resistance zone.
XRP Price Attempts Recovery
XRP price failed to continue higher above the $2.620 resistance zone and started a fresh decline, like Bitcoin and Ethereum. There was a move below the $2.55 and $2.50 support levels.
The price even dipped below the $2.20 support to enter a bearish zone. A low was formed at $2.0639 and the price is now attempting to recover. There was a move above the 23.6% Fib retracement level of the downward wave from the $2.604 swing high to the $2.206 low.
The price is now trading below $2.40 and the 100-hourly Simple Moving Average. On the upside, the price might face resistance near the $2.3320 level. The first major resistance is near the $2.40 level or the 61.8% Fib retracement level of the downward wave from the $2.604 swing high to the $2.206 low.
The next resistance is $2.450. There is also a key bearish trend line forming with resistance at $2.450 on the hourly chart of the XRP/USD pair. A clear move above the $2.450 resistance might send the price toward the $2.50 resistance. Any more gains might send the price toward the $2.550 resistance or even $2.5650 in the near term. The next major hurdle for the bulls might be $2.620.
Another Decline?
If XRP fails to clear the $2.450 resistance zone, it could start another decline. Initial support on the downside is near the $2.2320 level. The next major support is near the $2.20 level.
If there is a downside break and a close below the $2.20 level, the price might continue to decline toward the $2.120 support. The next major support sits near the $2.050 zone.
Technical Indicators
Hourly MACD – The MACD for XRP/USD is now gaining pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.
Major Support Levels – $2.2320 and $2.20.
Major Resistance Levels – $2.40 and $2.450.
