XRP price started a downside correction and tested $0.572. The price is now rising and might gain bullish momentum if it clears $0.642.
- XRP started a downside correction below $0.650 and $0.620.
- The price is now trading below $0.640 and the 100 simple moving average (4 hours).
- There was a break above a major bearish trend line with resistance near $0.608 on the 4-hour chart of the XRP/USD pair (data source from Kraken).
- The pair start a fresh rally if it clears the $0.642 resistance zone.
XRP Price Holds Key Support
After facing rejection near the $0.740 zone, XRP started a fresh decline. There was a move below the $0.70 and $0.650 support levels. The price even dived below the $0.60 support, underperforming Bitcoin and Ethereum.
Finally, the bulls took a stand near $0.572. A low was formed near $0.572 and the price is now attempting a fresh increase. There was a move above the $0.600 resistance. There was a break above a major bearish trend line with resistance near $0.608 on the 4-hour chart of the XRP/USD pair.
The price is now testing the 23.6% Fib retracement level of the downward move from the $0.7499 swing high to the $0.5723 low. On the upside, immediate resistance is near the $0.615 level.
The first major resistance is near the $0.642 zone or the 100 simple moving average (4 hours). It is close to the 50% Fib retracement level of the downward move from the $0.7499 swing high to the $0.5723 low. A close above the $0.642 resistance zone could spark a steady increase.
Source: XRPUSD on TradingView.com
The next key resistance is near $0.682. If the bulls remain in action above the $0.682 resistance level, there could be a rally toward the $0.720 resistance. Any more gains might send XRP toward the $0.750 resistance.
Another Decline?
If XRP fails to clear the $0.642 resistance zone, it could start a fresh decline. Initial support on the downside is near the $0.588 zone.
The next major support is at $0.572. If there is a downside break and a close below the $0.572 level, XRP price might accelerate lower. In the stated case, the price could retest the $0.540 support zone.
Technical Indicators
4-Hours MACD – The MACD for XRP/USD is now gaining pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now just above the 50 level.
Major Support Levels – $0.588, $0.572, and $0.540.
Major Resistance Levels – $0.615, $0.642, and $0.682.
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