The XRP price is consolidating above the $0.600 support. The price could start a new rally if there is a daily close above the USD 0.650 resistance.
- XRP is attempting a new increase from the USD 0.600 support level.
- The price is now trading above USD 0.620 and the 100 simple moving average (4 hours).
- A major contracting triangle is forming with resistance near $0.6380 on the 4-hour chart of the XRP/USD pair (Kraken data source).
- The pair will start a new rally if it overcomes the USD 0.638 and USD 0.650 resistance levels.
XRP price aims higher
After a downward correction, XRP price found support near the $0.600 zone. The price formed a base and started a small increase above the USD 0.612 level, but the gains were limited and less compared to Bitcoin and Ethereum.
The price spiked above the 50% Fib retracement level a few times from the main decline from the $0.700 swing high to the $0.578 swing low. However, the bears protected a close above the USD 0.650 resistance. It is now consolidating below $0.640.
XRP is stable above USD 0.620 and the 100 simple moving average (4 hours). On the upside, immediate resistance is near the $0.638 zone. A major contracting triangle is also forming with resistance near $0.6380 on the 4-hour chart of the XRP/USD pair.
The next major resistance is near the $0.650 zone or the 61.8% Fib retracement level of the main decline from the $0.700 swing high to the $0.578 swing low. A close above the USD 0.650 resistance zone could lead to a strong rise.
Source: XRPUSD on TradingView.com
The next major resistance is near $0.672. If the bulls continue to act above the USD 0.672 resistance level, a rally towards the USD 0.700 resistance could take place. Any further gains could send the price towards the USD 0.720 resistance.
Disadvantage of break?
If XRP fails to break the USD 0.638 resistance zone, it could trigger a fresh decline. The initial downside support is near the $0.610 zone and the triangle trendline.
The next major support is at USD 0.600. If there is a downside break and a close below the USD 0.600 level, the XRP price may accelerate lower. In the said case, the price could retest the $0.550 support zone.
Technical indicators
4-hour MACD – The MACD for XRP/USD is now gaining speed in the bullish zone.
4-hour RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.
Major support levels – USD 0.610, USD 0.600 and USD 0.550.
Major resistance levels – $0.638, $0.650 and $0.700.
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