- Ripple price started a downside correction after trading towards the $0.4740 level against the US dollar.
- There is a short term declining channel in place with resistance at $0.4540 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair is likely to find a decent support near the $0.4460 and $0.4425 levels in the near term.
Ripple price is correcting lower against the US Dollar and Bitcoin. XRP/USD may soon test the key supports above the $0.4400 level.
Ripple Price Analysis
Yesterday, we saw a solid upward move in ripple price above the $0.4600 level against the US Dollar. The XRP/USD pair traded above the $0.4650 and $0.4700 levels. It traded as high as $0.4745 and later started a downside correction. The price moved down and broke the $0.4700 and $0.4600 support levels. Moreover, there was a break below the 50% Fib retracement level of the last wave from the $0.4324 low to $0.4745 high.
It is currently trading well below the $0.4600 level and the 100 hourly simple moving average. More importantly, there is a short term declining channel in place with resistance at $0.4540 on the hourly chart of the XRP/USD pair. An immediate support is the 61.8% Fib retracement level of the last wave from the $0.4324 low to $0.4745 high at $0.4480. Below this, the price could test the next key supports near the $0.4460 and $0.4425 levels in the near term. On the upside, a break above the $0.4540 and $0.4600 resistances may open the doors for a fresh upside.
Looking at the chart, ripple price is approaching a few important supports above $0.4400. As long as the price is above $0.4400, it could bounce back in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD has moved back in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is well above the 50 level.
Major Support Level – $0.4400
Major Resistance Level – $0.4540