The XRP price started a fresh decline after the $0.550 resistance against the US dollar. It could drop and revisit the $0.45 support.
- Ripple token price is falling against the resistance at 0.550 against the US dollar.
- The price is now trading above $0.500 and the 100 simple moving average (4 hours).
- A major bearish trendline is forming with resistance near $0.5065 on the 4-hour chart of the XRP/USD pair (Kraken data source).
- The pair could continue to decline if it breaks the USD 0.488 support zone.
XRP price is hit
Recently, XRP made another attempt to clear the USD 0.550 resistance. However, the bulls failed to cross the USD 0.550 mark. The price traded as high as $0.5510 and started a new decline, just like Bitcoin and Ethereum.
There was a steady decline below the USD 0.532 and USD 0.525 levels. The price even fell below the $0.50 level and the 100 simple moving average (4 hours). Finally, the $0.488 support zone was retested. A low is formed near USD 0.4875 and the price is now consolidating losses.
XRP is now trading above $0.500 and the 100 simple moving average (4 hours). There is also a major bearish trendline forming with resistance near $0.5065 on the 4-hour chart of the XRP/USD pair. The trendline is close to the 23.6% Fib retracement level of the recent decline from the $0.5510 swing high to the $0.4875 low.
On the upside, immediate resistance is near the $0.505 level and trendline. A close above the $0.505 level could send the price towards the $0.525 resistance or the 61.8% Fib retracement level from the recent decline from the $0.5510 swing high to the $0.4875 low.
Source: XRPUSD on TradingView.com
A successful break above the USD 0.525 resistance level could trigger a strong rise towards the USD 0.550 resistance level. Any further gains could send XRP towards the USD 0.580 resistance.
Lose more?
If XRP fails to break the USD 0.505 resistance zone, it could continue to decline. The initial downside support is near the $0.488 zone.
The next major support is at USD 0.450. If there is a downside break and a close below the USD 0.450 level, XRP price could turn red. In the said case, the price could retest the USD 0.420 support zone.
Technical indicators
4-hour MACD – The MACD for XRP/USD is now losing pace in the bearish zone.
4-hour RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.
Major support levels – $0.488, $0.465 and $0.450.
Major resistance levels – $0.505, $0.525 and $0.550.
