XRP price is consolidating above the $0.50 support. The price could gain bearish momentum if a close occurs below the $0.50 support.
- XRP is showing bearish signs below the USD 0.525 and USD 0.550 resistance levels.
- The price is now trading below $0.525 and the 100 simple moving average (4 hours).
- A connecting bearish trendline is forming with resistance near $0.520 on the 4-hour chart of the XRP/USD pair (Kraken data source).
- The pair will start a new rise if it overcomes the USD 0.520 and USD 0.525 resistance levels.
XRP price revisits major support
In recent days, XRP price saw another decline below the $0.550 support. The bears were able to push the price into a short-term bearish zone below $0.525, like Bitcoin and Ethereum.
The price even spiked below the $0.500 support. A low was formed near USD 0.4961, and the price is now consolidating losses. It is back above the USD 0.500 level and showing signs of a small recovery wave. It is now trading below $0.525 and the 100 simple moving average (4 hours).
On the upside, immediate resistance is near the $0.520 zone. A connecting bearish trendline is also forming with resistance near $0.520 on the 4-hour chart of the XRP/USD pair. The trendline is close to the 23.6% Fib retracement level of the downward wave from the $0.6240 swing high to the $0.4960 low.
The first major resistance is near USD 0.532, above which the price could rise towards the USD 0.560 resistance. It is close to the 50% Fib retracement level of the downward wave from the $0.6240 swing high to the $0.4960 low.
Source: XRPUSD on TradingView.com
A close above the $0.560 resistance zone could lead to a strong upside. The next major resistance is near USD 0.594. If the bulls continue to act above the resistance level at $0.594, a rally towards the resistance at $0.620 could take place. Any further gains could send the price towards the USD 0.650 resistance.
Another drop?
If XRP fails to break the USD 0.525 resistance zone, it could trigger a fresh decline. The initial downside support is near the $0.500 zone.
The next major support is at USD 0.495. If there is a downside break and a close below the USD 0.495 level, the XRP price may accelerate lower. In the said case, the price could retest the $0.450 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 – USD 0.500, USD 0.495 and USD 0.450.
Major resistance levels – $0.520, $0.525 and $0.560.
Disclaimer: The article is for educational purposes only. It does not represent NewsBTC’s views on buying, selling or holding investments and of course investing involves risks. You are advised to conduct your own research before making any investment decisions. Use the information on this website entirely at your own risk.
