Ripple price struggled to clear the $0.4000 resistance and later declined below $0.3850. XRP needs to hold the $0.3600 support to recover in the near term.
- Ripple price seems to be facing a strong selling interest near the $0.4000 resistance area.
- Recently, there was a break below a key bullish trend line with support at $0.3750 on the 30-minute chart.
- XRP must surpass the $0.3850 and $0.4000 resistance levels to trade towards $0.4500.
Ripple Price Analysis
After forming a low at $0.3387, ripple price started an upward move above $0.3850. XRP traded above the $0.3950 resistance, but it failed to test the $0.4000 hurdle.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair traded as high as $0.3996 and later started a fresh decline. It moved below the $0.3900 support and the 23.6% Fib retracement level of the last leg from the $0.3387 low to $0.3996 high.
More importantly, there was a close below the $0.3850 support and the 25 simple moving average (30-minute). Besides, there was a break below a key bullish trend line with support at $0.3750 on the same chart.
The price declined below $0.3700 and tested the 50% Fib retracement level of the last leg from the $0.3387 low to $0.3996 high. The current price action is slightly bearish and it indicates that the price may continue to struggle.
On the downside, an immediate support is at $0.3605, below which there is a risk of more declines towards the $0.3500 and $0.3450 support levels.
On the upside, the price must break the $0.3800 level and a connecting bearish trend line at $0.3850 on the same chart. A successful close above $0.3850 and $0.3900 may open the doors for another push towards the $0.4000 hurdle.
Overall, ripple price seems to be stuck between the $0.4000 resistance and the $0.3605 support. Therefore, XRP may soon make the next move either above $0.4000 or towards $0.3450. Further below $0.3450, the price may even test the $0.3387 swing low in the near term.
The market data is provided by TradingView, Bitfinex.