XRP price fell sharply from the $0.5250 resistance zone. It has tested the $0.4540 support zone and is now trying to recover above $0.4880.
- XRP is correcting losses above the $0.4820 and $0.4840 levels.
- The price is now trading below $0.5050 and the 100 hourly simple moving average.
- There is a bullish trend line forming with support at $0.4950 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair could decline again if it remains below the $0.5050 resistance zone.
XRP Price Takes a Hit
The price of XRP began a huge decline as Ethereum and fell below the $0.50 support. The price still spiked below the $0.4650 support zone. A low was formed at $0.4533 and the price is now correcting losses.
There was a movement above the $0.470 and $0.4750 resistance levels. The price rose above the 50% Fibonacci retracement level of the downward move from the high of $0.5271 to the low of $0.4533. There is also a bullish trend line forming with support at $0.4950 on the hourly chart of the XRP/USD pair.
The pair is slowly moving above the 61.8% Fibonacci retracement level of the downward move from the $0.5271 high to $0.4533 low. However, it is still trading below $0.5050 and the 100 hourly simple moving average.
On the upside, the price faces resistance near the $0.500 level. The first key resistance is near $0.5050. The next major resistance is near the $0.5120 level. A close above the $0.5120 resistance zone could push the price higher. The next key resistance is near $0.5250.
If there is a close above the $0.5250 resistance level, there could be a steady rise towards the $0.5320 resistance. Any further gains could send the price towards the $0.550 resistance.
Another drop?
If XRP fails to break above the $0.5050 resistance zone, it could begin another decline. Initial downside support is near the $0.4950 level and trendline.
The next major support is at $0.4900. If there is a downside break and close below the $0.490 level, the price could accelerate lower. In the stated case, the price could fall and retest the $0.4740 support in the near term.
Technical Indicators
Hourly MACD – The MACD for XRP/USD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.
Key support levels – $0.4950 and $0.4900.
Main resistance levels – $0.500 and $0.5050.