- Ripple price fell sharply, traded below the $0.3500 support area, and later recovered against the US dollar.
- There is a major bearish trend line in place with resistance at $0.3750 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair is likely to struggle to clear the $0.3900 and $0.4000 resistance levels in the near term.
Ripple price is under heavy selling pressure against the US Dollar and Bitcoin. XRP/USD must break the $0.3750 and $0.3900 resistances to recover further.
Ripple Price Analysis
There was a nasty downside move from well above the $0.4200 level in ripple price against the US Dollar. The XRP/USD pair tumbled and broke the $0.4000 and $0.3500 support levels. There was even a close below the $0.3500 level and the 100 hourly simple moving average. The decline was such that the price traded close to the $0.3100 level. A new monthly low was formed at $0.3126 before the price started an upside correction.
It recovered above the $0.3400 and $0.3500 levels. There was also a break above the 50% Fib retracement level of the recent decline from the $0.4143 high to $0.3126 low. However, the upside move was capped by the $0.3900 resistance and the 100 hourly SMA. Moreover, there is a major bearish trend line in place with resistance at $0.3750 on the hourly chart of the XRP/USD pair. The pair also struggled to settle above the 61.8% Fib retracement level of the recent decline from the $0.4143 high to $0.3126 low. It seems like the price must break the $0.3800, $0.3900 and $0.4000 resistance levels to move back in a positive zone.
Looking at the chart, ripple price is currently under pressure below the $0.3900 resistance. On the downside, the main supports are $0.3550 and $0.3400.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is slightly placed in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is just near the 50 level.
Major Support Level – $0.3400
Major Resistance Level – $0.3900
Author: Aayush Jindal