Key Highlights
- Ripple price is holding the $0.5500 and $0.5520 support levels against the US dollar.
- There is a major breakout pattern formed with resistance at $0.5820 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair must hold the $0.5500 and $0.5520 support levels to climb higher in the near term.
Ripple price is positioned for more gains against the US Dollar and Bitcoin. XRP/USD may continue to slowly rise towards the $0.5800 and $0.5900 resistances.
Ripple Price Analysis
There was a minor downside correction from the $0.6188 swing high in Ripple price against the US Dollar. The XRP/USD pair declined below the $0.5500 support level, but it quickly bounced back. The recovery was strong as the price climbed above the $0.5500 level. Buyers even managed to push the price above the 50% fib retracement level of the recent decline from the $0.6188 high to $0.5320 low.
More importantly, there was a close above the $0.5600 level and the 100 hourly simple moving average. The upside move found resistance near the $0.5950 level. It seems like the price failed to clear the 61.8% fib retracement level of the recent decline from the $0.6188 high to $0.5320 low. At the moment, there is a major breakout pattern forming with resistance at $0.5820 on the hourly chart of the XRP/USD pair. In the short term, there could be a minor downside move towards the $0.5520 and $0.5500 support levels.
Looking at the chart, ripple price remains well supported around the $0.5500 level. Once buyers succeed in surpassing the $0.5800 and $0.5900 resistances, there could be a new weekly high above $0.6200. On the other hand, a daily close below $0.5500 may well ignite more losses towards the $0.5000 level.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is slowly moving in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently holding the 50 level.
Major Support Level – $0.5500
Major Resistance Level – $0.5820
