- Ripple price broke the key $0.3200 support level to extend losses against the US dollar.
- The price even spiked below the $0.3000 support area and traded to a new monthly low at $0.2955.
- There is a major bearish trend line forming with resistance at $0.3200 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The price could correct higher, but it is likely to face sellers near $0.3150 and $0.3200.
Ripple price remained in a bearish zone against the US Dollar, but recovered vs bitcoin. XRP price might continue to decline and it is likely to test the $0.2850 support area.
Ripple Price Analysis
Recently, there were heavy losses in bitcoin and Ethereum, but ripple price declined less against the US Dollar. The XRP/USD pair remained in a bearish zone and broke the key $0.3200 support level. The pair even broke the $0.3000 support level and settled well below the 100 hourly simple moving average. Finally, the price traded to a new monthly low at $0.2955 and it is currently consolidating losses.
An immediate resistance on the upside is near the $0.3050 and $0.3080 levels. The 23.6% Fib retracement level of the recent decline from the $0.3510 high to $0.2955 low is also near the $0.3080 level. If there is an upside break above the $0.3080 level, the price could trade towards the $0.3200 resistance. The stated $0.3200 level was a support earlier and now it is likely to act as a strong resistance.
Moreover, there is a major bearish trend line forming with resistance at $0.3200 on the hourly chart of the XRP/USD pair. The 50% Fib retracement level of the recent decline from the $0.3510 high to $0.2955 low is the next resistance near the $0.3220 level. Therefore, to start a decent recovery, the price must move back above the $0.3200 and $0.3220 resistance level.
On the other hand, if the price fails to correct above $0.3200 or $0.3220, there could be more losses. An immediate support is near the $0.2950 level, below which the price may even break the $0.2900 level.
Looking at the chart, ripple price is clearly trading in a bearish zone below $0.3200 and the 100 hourly SMA. In the short term, there could be a minor upward move, but the bulls might struggle near the $0.3200 level. It seems like the price could extend losses and test the $0.2850 support level before a fresh recovery.
Technical Indicators
Hourly MACD – The MACD for XRP/USD is slowly losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently well below the 40 level.
Major Support Levels – $0.2950, $0.2900 and $0.2850.
Major Resistance Levels – $0.3080, $0.3200 and $0.3220.
