Analysis

Ripple (XRP) Breaks Key Support: Indicators Suggest Fresh Test of $0.22

Ripple failed to clear the $ 0.2450 resistance and declined sharply against the US Dollar. XRP price is now trading below the $ 0.2380 support and remains at a risk of a drop to $ 0.2200.

  • Ripple is down more than 4% and it failed to clear the main $ 0.2450 resistance against the US dollar.
  • The price is now trading well below $ 0.2380 and the 100 simple moving average (4-hours).
  • Yesterday’s followed important bearish trend line is active with resistance near $ 0.2445 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
  • The pair is likely to accelerate lower towards $ 0.2200 if it breaks the $ 0.2280 support.

Ripple Price Resumes Decline

In the past two sessions, there was an increase in selling in bitcoin, Ethereum, and ripple. XRP price failed to clear the main $ 0.2450 resistance area (as discussed yesterday), and started a fresh decline.

There was a sharp decline below the $ 0.2400 level and the 100 simple moving average (4-hours). There was also a break below the 50% Fib retracement level of the key upward move from the $ 0.2195 swing low to $ 0.2550 swing high.

The decline was such that the bears pushed the price below the key $ 0.2380 support. More importantly, yesterday’s followed important bearish trend line is active with resistance near $ 0.2445 on the 4-hours chart of the XRP/USD pair.

Ripple Price

Ripple (XRP) price dives below $ 0.2380. Source: TradingView.com

The pair is now testing the $ 0.2300 zone, plus the 61.8% Fib retracement level of the key upward move from the $ 0.2195 swing low to $ 0.2550 swing high. If there is a downside break below the $ 0.2300 and $ 0.2280 support levels, it could open the doors for a sharp dip towards the next major support near the $ 0.2200 level. Any further losses could lead ripple towards the $ 0.2150 level.

Upsides Capped in XRP?

If ripple finds support near $ 0.2300 or $ 0.2280, there are chances of a short-term upside correction. On the upside, the price is likely to face a strong resistance near $ 0.2400 and the 100 simple moving average (4-hours).

The main resistance is still near the trend line and $ 0.2450, above which the bulls are likely to gain strength in the coming days.

Technical Indicators

4-Hours MACD – The MACD for XRP/USD is now gaining pace in the bearish zone.

4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now well below the 50 level, with bearish signs.

Major Support Levels – $ 0.2300, $ 0.2280 and $ 0.2200.

Major Resistance Levels – $ 0.2380, $ 0.2400 and $ 0.2450.

Let’s block ads! (Why?)

Analysis – NewsBTC

Leave a Reply

Your email address will not be published. Required fields are marked *

13 − 8 =