Ripple is struggling to recover above the $0.48 resistance against the US dollar. XRP price may magnify losses if there is a close below the $0.44 support.
- Ripple started a fresh decline from the $0.500 zone against the US dollar.
- The price is now trading below $0.488 and the 100 simple moving average (4 hours).
- A major bearish trendline is forming with resistance close to $0.470 on the 4-hour chart of the XRP/USD pair (data source from Kraken).
- The pair could decline further if it continues below the USD 0.488 and USD 0.500 resistance levels.
Ripple Price faces hurdles
After a small upward move, Ripple’s XRP struggled to gain pace for a move above the $0.50 resistance against the US dollar. A high is formed near $0.4868 and the price moves lower, similar to Bitcoin and Ethereum.
There was clear movement below the $0.475 and $0.470 support levels. The price is now trading near the 50% Fib retracement level of the upward move from the $0.4332 swing low to the $0.4868 high. It is now trading below $0.488 and the 100 simple moving average (4 hours).
Initial resistance is near the $0.470 zone. A major bearish trendline is also forming with resistance close to $0.470 on the 4-hour chart of the XRP/USD pair.
Source: XRPUSD at TradingView.com
The first major resistance is near the $0.480 level or the 100 simple moving average (4 hours). The main resistance is near the $0.488 level. A successful break above the $0.480 and $0.488 resistance levels could send the price towards the $0.520 resistance. More gains could push the price towards the $0.535 resistance.
Lose more in XRP?
If Ripple fails to clear the $0.480 resistance zone, it could drop further. The initial support on the downside is near the $0.454 zone or the 61.8% Fib retracement level of the upward move from the $0.4332 swing low to the $0.4868 high.
The next major support is near $0.440. If there is a downside break and a close below the $0.440 level, the price of XRP could add to losses. In the said case, the price might test the $0.400 support zone.
Technical indicators
4am 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 below the 50 level.
Main Support Levels – $0.454, $0.440 and $0.400.
Main resistance levels – $0.480, $0.488 and $0.500.
