Ripple price extended declines and tested the $0.3400 support. XRP/USD bounced back and it is currently trading above the $0.3460 support level.
- Ripple price failed once again to break the $0.3680-0.3700 resistance zone.
- Earlier, there was a break above a major declining channel with resistance at $0.3540 on the 30-minute chart.
- XRP price is currently consolidating above the $0.3460 support for the next move.
Ripple Price Analysis
Yesterday, we discussed the chances of more losses below $0.3460 in ripple price in the short term. The price did move down and broke the $0.3460 support, but losses were limited as it found support near $0.3400.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair dipped sharply below $0.3460 and tested the $0.3400 support level. It seems like buyers defended losses near yesterday’s major declining channel support near $0.3400.
As a result, there was a decent upward move and the price bounced back above $0.3460 and $0.3500. More importantly, there was a break above the same declining channel with resistance at $0.3540.
It opened the doors for more gains above $0.3600 and the 25 simple moving average (30-minute). However, sellers once again defended the $0.3680-0.3700 resistance zone. A fresh decline was initiated and the price traded below the 61.8% Fib retracement level of the last wave from the $0.3400 low to $0.3685 high.
The price traded close to the $0.3460 support, which prevented further losses. Besides, the 76.4% Fib retracement level of the last wave from the $0.3400 low to $0.3685 high also acted as a support.
XRP is currently moving higher and is trading near the $0.3540 level and the 25 simple moving average (30-minute). If it continues to move higher, it could test the $0.3680 resistance, above which the next major hurdle for buyers is near the $0.3760 level.
On the other hand, if there is a fresh decline, ripple price may perhaps trade below $0.3460. Additional losses below $0.3460 could put XRP at a risk of a downside break below $0.3400.
The market data is provided by TradingView, Bitfinex.