Ripple Price Analysis: Can XRP Hold This Key Support?
- Ripple price declined heavily below the $0.2640 support zone against the US dollar.
- The price is currently consolidating above the key $0.2215 support level.
- There is a major bearish trend line forming with resistance near $0.2375 on the 4-hours chart of the XRP/USD pair (data source from Bittrex).
- The pair must climb above $0.2375 and $0.2465 to start a decent recovery in the coming sessions.
Ripple price is currently consolidating above $0.2200 against the US Dollar. XRP price remains at a risk of more downsides if it fails to recover above $0.2465.
Ripple Price Analysis
This past week, ripple price started a nasty decline from well above the $0.2700 level against the US Dollar. XRP/USD broke a few key supports near the $0.2500 level to enter a bearish zone.
Moreover, there was a close below the $0.2400 level and the 55 simple moving average (4-hours). The price traded as low as $0.2215 and it is currently consolidating losses.
An initial resistance is seen near the $0.2365 level. It represents the 23.6% Fib retracement level of the downward move from the $0.2852 high to $0.2215 low. There is also a major bearish trend line forming with resistance near $0.2375 on the 4-hours chart of the XRP/USD pair.
Therefore, ripple price must surpass the $0.2365 and $0.2375 resistance levels to start a decent recovery. The next resistance is near the $0.2465 level (the previous support).
The main resistance is near the $0.2520 level and the 55 simple moving average (4-hours). It is close to the 50% Fib retracement level of the downward move from the $0.2852 high to $0.2215 low.
If the price manages to recover above the $0.2520 resistance and the 55 SMA, it could start a massive rally. The next stops for the bulls may perhaps be near the $0.2640 and $0.2800 levels.
Conversely, the price might struggle to climb above the $0.2365 and $0.2375 resistance levels. In the mentioned case, there is a risk of more downsides below the $0.2240 and $0.2215 levels in the near term. Then next major support is near the $0.2200 level.
Looking at the chart, ripple price is clearly preparing for the next major move either above $0.2375 or below $0.2215. A clear break below $0.2215 could be very deadly and the price might even dive below $0.2200.
4 hours MACD – The MACD for XRP/USD is losing momentum in the bearish zone.
4 hours RSI (Relative Strength Index) – The RSI for XRP/USD is now just below the 40 level.
Key Support Levels – $0.2240, $0.2215 and $0.2200.
Key Resistance Levels – $0.2375 and $0.2465.
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