Ripple price is slowly recovering after testing the $0.3840 support area. XRP could correct further, but sellers are likely to remain active as long as the price is below $0.4250.
- The price is facing a lot of hurdles near the $0.4080 and $0.4170 resistance levels.
- XRP recovered above a key bearish trend line with resistance at $0.4030 on the 30-minute chart.
- Ripple price could correct further higher, but the $0.4170 and $0.4250 levels are likely to cap upsides.
Ripple Price Analysis (XRP to USD)
Recently, there was a downside extension in ripple price below the $0.4000 support. XRP/USD traded below the $0.3920 support before the bulls appeared near the $0.3840 support area. As a result, the price started a short term recovery above $0.3920 and $0.4000.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair recently recovered above the $0.4050 level and the 25 simple moving average (30-minute chart) to clear the path for a short term recovery.
Moreover, there was a break above a key bearish trend line with resistance at $0.4030 on the same chart. The price tested the 23.6% Fib retracement level of the decline from the $0.4659 high to $0.3837 swing low.
The price is currently consolidating near the $0.4080 level and it might slowly recover further. However, there are many resistances on the upside near the $0.4150 and $0.4170 levels.
The $0.4170 level is important since it represents the previous swing high. A break above the $0.4170 level could open the doors for a larger recovery. The next key resistance is near the $0.4250 level.
The $0.4250 level represents the 50% Fib retracement level of the decline from the $0.4659 high to $0.3837 swing low. If there is a clear break above the $0.4250 level, the price could continue to move higher towards the $0.4400 and $0.4500 levels.
Conversely, if there is a downside break below the $0.4000 support, ripple price could restart a fresh decline in the coming sessions. The next key supports for the bulls are $0.3840 and $0.3800.
The market data is provided by TradingView, Bitfinex.