XRP price is struggling to clear the resistance of $0.520. If the price closes below the $0.4850 support, the price may gain bearish momentum.
- XRP is showing bearish signals below the $0.520 and $0.508 resistance levels.
- The price is currently trading below $0.520 and the 100 simple moving average (4-hours).
- There is a bearish trendline tying together with resistance near $0.5120 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
- The pair now faces further downside risk below the $0.5000 support.
XRP price faces many obstacles.
Over the past few days, the price of XRP has been trending downwards below the $0.550 pivot level. The bears remained active and were able to push the price below the $0.500 support zone.
Recently there has been a recovery above the $0.500 level. The bulls pushed the price above the 50% Fib retracement level of the downward wave from the $0.5390 swing high to the $0.4850 low. However, the bears remained active near the $0.525 resistance line.
Ripple’s token failed to clear the 76.4% Fib retracement level of the downward wave from the $0.5390 swing high to the $0.4850 low. XRP is currently trading in bearish territory below $0.508 and the 100 simple moving average (4-hours), unlike Bitcoin and Ethereum.
On the positive side, immediate resistance is near the $0.512 area. There is also a bearish trend line tying with resistance near $0.5120 on the 4-hours chart of the XRP/USD pair. The first major resistance is near $0.520, a break above which could lead to an advance towards $0.5320.
Source: XRPUSD on TradingView.com
A break above the $0.5320 resistance could trigger a strong rally. The next major resistance is near $0.5550. If the bulls continue to be active above the $0.5550 resistance, there could be a rally towards the $0.5840 resistance. Any more profits could push the price towards the $0.6000 resistance.
Are there any more drawbacks?
If XRP fails to clear the $0.5120 resistance area, it may continue to decline. Initial support on the downside is near the $0.500 area.
The next major support is at $0.485. A downward breakout and a close below the $0.485 level could push the price lower. If indicated, the price may retest the $0.450 support area.
technical indicators
4-Hour MACD – The MACD for XRP/USD is now pacing in bearish territory.
4-Hour RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.
Key support levels – $0.500, $0.485, $0.450.
Key resistance levels – $0.512, $0.520, $0.532.
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