Ripple is struggling to stay above the key USD 0.2600 support against the US dollar. XRP price could fall if a closing price falls below USD 0.2600 and USD 0.2550.
- Ripple is showing a few bearish signals below USD 0.2750 and USD 0.2800 resistance levels against the US dollar.
- The price tests the USD 0.2600 support and it is well below the simple 100 (4-hour) moving average.
- A major bearish trendline is forming with resistance near USD 0.2720 on the 4-hour chart of the XRP / USD pair (data source from Kraken).
- The pair could either move above USD 0.2750 or it could slide towards the USD 0.2150 support.
Ripple’s XRP price is struggling to recover
After struggling to clear the USD 0.3120 resistance, Ripple’s XRP price started to decline again. The price fell sharply below the $ 0.2800 support level and it even spiked below $ 0.2600.
A low was formed at $ 0.2390 before the price started an upward correction. There was a break above the USD 0.2500 and USD 0.2550 levels. The price climbed above the 23.6% Fib retracement level of the downward movement of the swing high from $ 0.3306 to $ 0.2390 low.
However, the price appears to be facing resistance near the USD 0.2850 level. A major bearish trendline is also forming with resistance near USD 0.2720 on the 4-hour chart of the XRP / USD pair.
Source: XRPUSD on TradingView.com
The trend line is close to the 50% Fib retracement level of the downward move from the USD 0.3306 swing high to the USD 0.2390 low. XRP is now testing the USD 0.2600 support and it is well below the simple 100 (4 hours) moving average.
If there is a downside break below the USD 0.2600 support level, the bears are likely to gain strength. In the case mentioned, there is a risk of a sharp decline towards the USD 0.2400 and USD 0.2350 levels. The price could even hit the USD 0.2150 level in the near term.
New increase in XRP?
If the ripple remains above the USD 0.2600 support zone, there are chances of one new increase. The first key resistance is close to the trendline and USD 0.2750. The next big resistance is near the USD 0.2800 level and the 100 SMA (H4).
A successful close above the USD 0.2800 level could open the doors for as high as USD 0.3000 and USD 0.3120.
4-Hours MACD – The MACD for XRP / USD is showing negative signs in the bearish zone.
4-Hour RSI (Relative Strength Index) – The RSI for XRP / USD is well below the 50 level.
Key Support Levels – USD 0.2600, USD 0.2450 and USD 0.2150.
Key Resistance Levels – USD 0.2750, USD 0.2800 and USD 0.35000.