Ripple price declined recently towards the $0.4000 support. XRP/USD recovered nicely and is trading above the $0.4170 range support.
- Ripple price jumped back above the key support at $0.4170.
- XRP/USD broke a short-term triangle with resistance at $0.4135 on the 30-minute chart.
- The price could move further higher, but the $0.4620 resistance could stop gains.
Ripple Price Analysis
Recently, ripple price made a few attempts to break the $0.4295-0.4300 resistance area, but it failed. The price started a downside move and broke a contracting triangle support at $0.4250.
Click to Enlarge Chart
Looking at the 30-minute chart of XRP/USD, the pair declined sharply and broke an important range support at $0.4170. It even declined below the $0.4100 level and the $0.4050 levels.
However, the $0.4000 support area played its part and defended more losses. A low was formed at $0.3983 and later the price started an upside move. It climbed higher and broke the $0.4150 resistance and the 25 simple moving average (30-minute).
During the climb, there was a break above a short-term triangle with resistance at $0.4135 on the same chart. Moreover, the price cleared the 61.8% Fib retracement level of the recent decline from the $0.4287 high to $0.3983 low.
It seems like the price is back in the same range above the $0.4170 support. On the upside, there is a strong resistance near the $0.4600 and $0.4620 levels. Buyers need to surpass these resistances to open the doors for a larger upward wave towards the $0.4800 level.
In the mentioned case, the price may even trade towards $0.5000 level and the 2.236 Fib extension level of the recent decline from the $0.4287 high to $0.3983 low.
On the other hand, if ripple price fails again to break the $0.4600-0.4620 resistance zone, there could be a fresh decline. On the downside, the range support near the $0.4170 level holds the key. Below this, the XRP/USD pair may possibly revisit the $0.4000 support area in the near term.
The market data is provided by TradingView, Bitfinex.