XRP price extended losses below the $0.5220 support area. It tested the $0.5120 support and is now attempting another recovery wave towards $0.550.
- XRP is struggling to start a new rally above the $0.5320 resistance zone.
- The price is currently trading below $0.530 and the 100-hour simple moving average.
- On the hourly chart of the XRP/USD pair, there is a major bearish trendline forming with resistance near $0.5230 (data source from Kraken).
- If the price stays below $0.5320, the pair may continue to decline.
XRP price falls further
XRP price remained in the same short-term bearish zone as Bitcoin and Ethereum. The decline could push the price below the key support at $0.5220. Finally, the price tested the $0.5120 support area.
The low was formed at $0.5126 and the price is now attempting a new recovery. There was a move above the $0.5165 level. The price crossed the 23.6% Fib retracement level of the bearish wave from the $0.5406 swing high to the $0.5126 low.
However, the price is still trading below $0.530 and the 100-hour simple moving average. On the other hand, the price is finding resistance near $0.5220. Additionally, on the hourly chart of the XRP/USD pair, there is a major bearish trendline forming with resistance near $0.5230.
The first major resistance is near $0.5265 or the 50% Fib retracement level of the bearish wave from the $0.5406 swing high to the $0.5126 low. A break above the $0.5265 resistance zone could push the price higher. The next major resistance is near $0.5320.
If the price closes above the $0.5320 resistance line, there could be a steady rise towards the $0.5450 resistance line. Any more profits could push the price towards the $0.5650 resistance.
Are there any more drawbacks?
If XRP fails to clear the $0.5220 resistance area, it may continue to decline. Initial support for the downside is near the $0.5150 level.
The next major support is at $0.5120. A downward breakout and a close below the $0.5120 level could push the price lower. If indicated, the price may fall and retest the $0.50 support in the near term.
technical indicators
Hourly MACD – The MACD for XRP/USD is now losing speed in bearish territory.
Hourly Relative Strength Index (RSI) – The RSI for XRP/USD is now below the 50 level.
Key support levels – $0.5120 and $0.500.
Key resistance levels – $0.5220 and $0.5320.