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Ripple corrected lower sharply from $0.2450, but it found support near $0.2200 against the US Dollar, similar to bitcoin near $8,500. XRP price is recovering, but it must surpass $0.2360 for a fresh rally.
- Ripple price is showing positive signs above the $0.2250 and $0.2280 support levels against the US dollar.
- The price is facing hurdles near the $0.2350 and $0.2360 levels.
- There is a new contracting triangle forming with resistance near $0.2360 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair must climb above $0.2360 to start a fresh rally towards $0.2450 or $0.2500.
Ripple Price Approaching Resistance
Recently, we saw a downside correction in ripple from the $0.2450 resistance area against the US Dollar. XRP price broke the $0.2350 and $0.2320 support levels and even spiked below $0.2300.
However, the bulls were able to protect the $0.2220 support level and the 100 hourly simple moving average. A low is formed near $0.2220 and the price recently started a decent upward move.
It broke the 23.6% Fib retracement level of the recent decline from the $0.2423 high to $0.2220 low. On the upside, there are a couple of key resistances near the $0.2350 and $0.2360 levels.
Besides, the 50% Fib retracement level of the recent decline from the $0.2423 high to $0.2220 low is near $0.2322. More importantly, there is a new contracting triangle forming with resistance near $0.2360 on the hourly chart of the XRP/USD pair.
Therefore, ripple price must surpass the $0.2350 and $0.2360 resistance levels to start a fresh rally. If there is a successful close above $0.2360, the bulls are likely to aim a test of the $0.2450 resistance.
Any further gains could lead the price towards the $0.2480 and $0.2500 resistance levels in the coming sessions.
What If XRP Fails to Break Higher?
If XRP price fails to climb above the $0.2350 and $0.2360 resistance levels, it could resume its slide. An initial support is near the triangle lower trend line at $0.2280. The first key support is near the $0.2250 level and the 100 hourly SMA.
The main support for ripple is near the $0.2220 level, below which there is a risk of a sharp decline below $0.2200 in the near term. The next major support is at $0.2080.
Technical Indicators
Hourly MACD – The MACD for XRP/USD is slowly gaining momentum in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now rising towards the 60 level.
Major Support Levels – $0.2350, $0.2360 and $0.2400.
Major Resistance Levels – $0.2280, $0.2250 and $0.2220.
