XRP price rebound at risk: recovery may weaken

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XRP price has dropped significantly from the resistance zone at $0.5250. It tested the support zone at $0.4540 and is currently trying to break above $0.4880.

  • XRP corrects losses above the $0.4820 and $0.4840 levels.
  • The price is currently below $0.5050 and the 100-hour uncomplicated moving average.
  • A connecting bullish trendline is forming on the hourly chart of the XRP/USD pair with support at $0.4950 (data source from Kraken).
  • The pair may decline again if it remains below the $0.5050 resistance zone.

XRP price hits

The price of XRP began a significant decline similar to Ethereum and fell below the support of $0.50. The price even rose below the support zone at $0.4650. The bottom was formed at USD 0.4533 and the price is currently correcting losses.

There has been a move above the $0.470 and $0.4750 resistance levels. The price rose above the 50% Fib retracement level as part of a move down from a high of $0.5271 to a low of $0.4533. A connecting bullish trendline is also forming on the hourly chart of the XRP/USD pair with support at $0.4950.

The pair is slowly moving above the 61.8% Fib retracement level in a downward move from a high at $0.5271 to a low at $0.4533. However, it is still trading below USD 0.5050 and the 100-hour uncomplicated moving average.

On the other hand, the price faces resistance near the USD 0.500 level. The first key resistance is located near USD 0.5050. The next major resistance is near the $0.5120 level. A close above the resistance zone at $0.5120 could result in a price rally. The next key resistance is around USD 0.5250.

Source: XRPUSD on TradingView.com

If there is a close above the $0.5250 resistance level, there could be a steady rally towards the $0.5320 resistance level. Any further increases could push the price towards the resistance at $0.550.

Another drop?

If XRP fails to break the resistance zone at $0.5050, another decline could begin. Initial downside support is located near the $0.4950 level and the trend line.

The next major support is located at $0.4900. If there is a breakout to the downside and a close below the $0.490 level, the price could accelerate lower. In this case, the price may drop and retest the support at $0.4740 in the near future.

Technical indicators

Hourly MACD – The MACD for XRP/USD is currently losing momentum in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently above the 50 level.

Major support levels – USD 0.4950 and USD 0.4900.

Major resistance levels – USD 0.500 and USD 0.5050.


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