XRP price started a new low below the $2.350 area. The price retested the $2.20 support area and is currently attempting a wave of recovery.
- XRP price started a new low from the $2.720 area.
- The price is now trading below $2.50 and the 100-hour Simple Moving Average.
- There is a connecting bearish trend line forming resistance at $2.45 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair could start another uptrend if it clears the $2.40 resistance.
XRP Price Goes to $2.20
XRP price failed to start a new high above the $2.50 level and started a new low, like Bitcoin and Ethereum. There was a move below the $2.45 and $2.40 levels.
The price fell more than 5% and there was a move below the $2.320 support. Finally, the price dropped below the $2.20 support. A low was formed at $2.171 and the price is now recovering losses. There was a move above the $2.250 level.
The price cleared the 23.6% Fib retracement level to the downside from the $2.720 swing high to the $2.171 low. The price is now trading below $2.50 and the 100-hour Simple Moving Average.
On the other hand, the price may face resistance near the $2.40 level. The first major resistance is near the $2.450 level. There is also a bearish connecting trend line forming with resistance at $2.45 on the hourly chart of the XRP/USD pair. The trend line is near the 50% Fib retracement level of the downside from the $2.720 swing high to the $2.171 swing low.
The next resistance is $2.50. A clear move above the $2.50 resistance could send the price to the $2.55 resistance. Any further gains could send the price to resistance at $2.620 or even $2.80 in the near term. The next major hurdle for the bulls would be $3.00.
Are Dips Supported?
If XRP fails to clear the $2.40 resistance area, it could start another decline. The first support on the downside is near the $2.25 level. The next major support is near the $2.20 level.
If there is a lower break and close below the $2.20 level, the price may continue to fall towards the $2.050 support. The next major support sits near the $2.00 area.
Technical References
Hourly MACD – The MACD of XRP/USD is now losing momentum in bearish territory.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.
Major Support Levels – $2.20 and $2.050.
Major Resistance Levels – $2.40 and $2.450.
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