Ripple price failed to capitalize despite bitcoin’s rally against the US dollar. XRP topped near $0.3310 and recently declined sharply towards the $0.3180 support area.
- There was a strong bearish wave in ripple price below the $0.3245 support level.
- There is a crucial bearish trend line in place with resistance near $0.3300 on the 30-minute chart.
- XRP price is currently correcting higher, but it seems like sellers remain in action below $0.3300.
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Ripple Price Analysis (XRP to USD)
Yesterday, we discussed a possible upward move towards $0.3400 in ripple after there was a sharp rally in bitcoin price above $5,600. XRP/USD traded above the $0.3300 level, but it failed to retain gains above the $0.3340 level and later declined sharply.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair formed a swing high near $0.3313 and declined below the $0.3265 and $0.3245 support levels. There was even a close below the $0.3245 level and the 25 simple moving average (30-minute chart).
The price tested the $0.3180 support area and it is currently correcting higher. It moved above the $0.3210 level and the 23.6% Fib retracement level of the recent drop from the $0.3313 high to $0.3178 low.
An initial resistance is near the $0.3230 level and the 25 simple moving average (30-minute chart). However, the main hurdle for the bulls is near the previous support at $0.3245. It also represents the 50% Fib retracement level of the recent drop from the $0.3313 high to $0.3178 low.
Finally, there is a crucial bearish trend line in place with resistance near $0.3300 on the same chart. Therefore, if there is a fresh increase above $0.3230, the price could face a strong selling interest near the $0.3245 or $0.3300 level.
Only a successful close above the trend line and $0.3313 swing high could push ripple price in a positive zone. If not, there could be more downsides below the $0.3200 and $0.3180 levels. In the mentioned bearish case, XRP price may even drop to $0.3120 in the near term.
The market data is provided by TradingView, Bitfinex.