- Ripple price failed to break the $0.4300 resistance and recently corrected lower against the US dollar.
- The price declined below the $0.4000 support and tested the $0.3800 support area.
- There is a key bullish trend line forming with support near $0.3850 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair may continue to trade in a range above the $0.3610 support area before a fresh increase.
Ripple price is currently consolidating above key supports against the US Dollar, but declining vs bitcoin. XRP must stay above the $0.3600-0.3610 support area to remain in a positive zone.
Ripple Price Analysis
After forming a support base above $0.3600, ripple price rebounded above $0.3800 and $0.4000 against the US Dollar. The XRP/USD pair even climbed above the $0.4150 level and the 100 hourly simple moving average. However, the price failed to trade above the $0.4300 resistance area. As a result, it stared a fresh downside correction below the $0.4150 and $0.4000 level. The price even broke the 100 hourly simple moving average and tested the $0.3800 support level.
A swing low was formed at $0.3802 and the price recently recovered higher. It traded above the $0.3920 level and the 23.6% Fib retracement level of the recent decline from the $0.4303 high to $0.3802 low. The price climbed above the $0.4000 level and tested the $0.4060 level. However, it seems to be struggling near the $0.4050 and $0.4060 levels. The 50% Fib retracement level of the recent decline from the $0.4303 high to $0.3802 low is also acting as a resistance. On the upside, a clear break above the $0.4050 level and connecting bearish trend line is must for more gains.
The next key resistance is near the $0.4150 level, above which the price could revisit the $0.4300 resistance area. On the downside, there are many supports near $0.3800 and $0.3600. There is also a key bullish trend line forming with support near $0.3850 on the hourly chart of the XRP/USD pair. If there is a downside break below the trend line, the price might retest the $0.3600 and $0.3610 support levels.
Looking at the chart, ripple price seems to be consolidating above the $0.3600 support and preparing for the next move. In the short term, there could be some weakness, but the price is likely to reclaim the $0.4150 and $0.4200 levels.
Technical Indicators
Hourly MACD – The MACD for XRP/USD could move back in the bearish zone, with negative signs.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level and it might decline to 40.
Major Support Levels – $0.3850, $0.3800 and $0.3610.
Major Resistance Levels – $0.4050, $0.4150 and $0.4300.
