Ripple price broke the $0.3740 and $0.3940 resistance levels. XRP/USD traded towards the $0.4080 level and later started a downside correction.
- Ripple price traded higher and settled above the $0.3740 resistance level.
- There is a key bullish trend line in place with support at $0.3730 on the 30-minute chart.
- XRP price must surpass the $0.3940 resistance to resume its upward move.
Ripple Price Analysis
Yesterday, we discussed that ripple price will most likely extend gains above the $0.3700 level. The price did trade higher and broke a few resistances near the $0.3730 and $0.3780 levels.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair formed a support near $0.3460 and later climbed above the $0.3650 and $0.3780 levels. Buyers took control above $0.3780, resulting in more gains above the $0.3940 and $0.4000 levels.
A new weekly high was formed at $0.4075 and later the price started a downside correction. It declined below $.3940 and an ascending channel on the same chart. Besides, there was a break below the 23.6% Fib retracement level of the last wave from the $0.3460 low to $0.4075 high.
Moreover, there was a close below $0.3940 and the 25 simple moving average (30-minute). However, there are many strong supports on the downside above the $0.3700 level.
An initial support is near the $0.3780 level and the 50% Fib retracement level of the last wave from the $0.3460 low to $0.4075 high. There is also a key bullish trend line in place with support at $0.3730 on the same chart.
Therefore, if the price corrects lower, it will most likely find support near the $0.3780 and $0.3740 level. Below $0.3740, the price could extend the correction towards the $0.3615 level.
Overall, ripple price moved into a bullish zone, with a close above the $0.3740 level. To regain bullish momentum, XRP buyers must clear the $0.3940 resistance and the 25 SMA. The next major resistance is at $0.4080, above which the price will most likely test $0.4250 in the near term.
The market data is provided by TradingView, Bitfinex.