Ripple price gained bullish momentum and cleared the $0.3800 resistance. XRP is likely to extend the recent bullish wave above the $0.3850 and $0.3900 resistances.
- Ripple price found a strong support near $0.3540 and later recovered nicely.
- There was a break above a key declining channel with resistance at $0.3670 on the 30-minute chart.
- XRP is likely to trade further higher above the 0.3850 and $0.3900 resistance levels.
Ripple Price Analysis
Recently, ripple price tested the key $0.3540 support area, which once again prevented a downside break. XRP formed a base above $0.3540 and later started a fresh upward move.
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Looking at the 30-minute chart of XRP/USD, the pair broke the $0.3600 resistance and the 25 simple moving average (30-minute) to start a decent bullish wave. During the upside, it broke many important resistances near the $0.3660 and $0.3700 levels.
There was also a break above a key declining channel with resistance at $0.3670 on the same chart. Buyers even pushed the price above the $0.3800 level and a new intraday high was formed at $0.3848.
Later, the price started a downside correction and traded below the $0.3800 level. The price declined below the 23.6% Fib retracement level of the recent wave from the $0.3543 low to $0.3848 high.
It is currently following a declining channel, with an immediate support at $0.3690. It represents the 50% Fib retracement level of the recent wave from the $0.3543 low to $0.3848 high. Should there be a downside break below $0.3690 or $0.3660, the price may move back in a bearish zone.
On the flip side, if the price starts a new upward move, it could break the $0.3800 and $0.3850 resistance levels. The next major resistance is at $0.3900, above which the price will most likely test the $0.4000 barrier.
To sum up, ripple price is positioned nicely for an upside extension above the $0.3850 level. However, if XRP sellers push the price below $0.3690 and $0.3660, the price may struggle to recover above $0.3800 in the near term.
The market data is provided by TradingView, Bitfinex.