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Ripple failed to stay above the $0.2200 support and declined recently against the US Dollar. XRP price is showing bearish signs and it could continue to dive towards $0.2000.
- Ripple price topped near the $0.2269 level and declined recently against the US dollar.
- It is now trading well below the $0.2200 pivot level and the 100 hourly simple moving average.
- There was a break below a key bullish trend line with support near $0.2185 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair is likely to continue lower towards the $0.2000 support level in the near term.
Ripple Price Could Extend Losses
After a steady rise, ripple struggled to continue above the $0.2260 and $0.2280 levels. XRP formed a short term top near the $0.2269 level and recently started a strong decline.
There was a break below the key $0.2200 support and the 100 hourly simple moving average. More importantly, there was a break below a key bullish trend line with support near $0.2185 on the hourly chart of the XRP/USD pair.
The pair is now trading well below the 76.4% Fib retracement level of the upward move from the $0.2084 low to $0.2269 high. Ripple is now trading near the last swing low at $0.2085.
If the bears remain in action, there is a risk of more losses below $0.2080. An immediate support is seen near the $0.2040 level. The first key support is near the $0.2000 area.
The 1.618 Fib extension level of the upward move from the $0.2084 low to $0.2269 high is the next major support near the $0.1970 level. Any further losses could open the doors for a larger decline towards the $0.1920 and $0.1900 support levels.
Key Hurdles
Ripple is clearly trading in a short term bearish zone below the $0.2150 and $0.2100 levels. If the price attempts a recovery, it could face hurdles near the $0.2120 level.
The main resistance is near the $0.2200 level and the 100 hourly SMA, above which the price is likely to retest the $0.2265 pivot level in the coming sessions.
Technical Indicators
Hourly MACD – The MACD for XRP/USD is gaining pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently declining and it is well below the 35 level.
Major Support Levels – $0.2040, $0.2000 and $0.1970.
Major Resistance Levels – $0.2120, $0.2200 and $0.2220.
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