Ripple price declined recently and tested the $0.4700 support area. XRP/USD is currently recovering, but upsides remain capped by $0.4920 and $0.5020.
- Ripple price is trading with a bearish bias below $0.5000-0.5020.
- XRP/USD recently broke an ascending channel with support at $0.4925 on the 30-minute chart.
- The price could correct lower in the short term towards $0.4820 or $0.4770.
Ripple Price Analysis
After a sharp decline below the $0.4800 level, ripple price found support near the $0.4680 and $0.4700 levels. Later, the price started recovering and traded above the $0.4750 and $0.4900 resistance levels, but gains were limited.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair traded above the $0.5000 level, but buyers failed to gain upside momentum. An intraday high was formed at $0.5020 and later the price moved lower.
It declined below the 23.6% Fib retracement level of the move from the $0.4692 low to $0.5020 high. Moreover, the pair broke an ascending channel with support at $0.4925 on the same chart to move into in a bearish zone.
There was even a spike below the 50% Fib retracement level of the move from the $0.4692 low to $0.5020 high. The price is currently correcting higher towards a connecting bearish trend line with resistance at $0.4920.
Should XRP breaks the $0.4920 resistance, it could revisit the $0.5020 high. Above the mentioned high, the price is likely to test the $0.5110 resistance area, which was a support earlier.
If there is no break above the $0.4920 and $0.5020 resistance levels, ripple price is likely to move down once again. An immediate support is near the $0.4815 level, which is the 61.8% Fib retracement level.
Below $0.4815, the price may possibly extend slides to $0.4770. And, if sellers remain in control, the price could even test the $0.4700 support area. Overall, the current price action is slightly bearish for XRP/USD until buyers manage to push the pair above the $0.4920 and $0.5020 resistance levels.
The market data is provided by TradingView, Bitfinex.