XRP price started a strong increase above the $2.850 zone. The price is now correcting gains and showing positive signs above $3.00.
- XRP price started a downside correction from the $3.220 zone.
- The price is now trading above $3.00 and the 100-hourly Simple Moving Average.
- There was a break below a connecting bullish trend line with support at $3.150 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair might start a fresh increase if it clears the $3.150 resistance zone.
XRP Price Regains Momentum
XRP price started a fresh increase from the $2.650 zone, outperforming Bitcoin and Ethereum. The price rallied above the $2.85 and $3.00 resistance levels. It even surged above $3.050.
A high was formed at $3.214 and the price recently corrected some gains. There was a move below the $3.15 level. The price dipped below the 23.6% Fib retracement level of the upward move from the $2.6562 swing low to the $3.214 high.
There was a break below a connecting bullish trend line with support at $3.150 on the hourly chart of the XRP/USD pair. The price is now trading above $3.00 and the 100-hourly Simple Moving Average.
On the upside, the price might face resistance near the $3.085 level. The first major resistance is near the $3.150 level. The next resistance is $3.20. A clear move above the $3.20 resistance might send the price toward the $3.220 resistance. Any more gains might send the price toward the $3.250 resistance or even $3.350 in the near term. The next major hurdle for the bulls might be $3.450.
Another Decline?
If XRP fails to clear the $3.0850 resistance zone, it could start another decline. Initial support on the downside is near the $3.00 level. The next major support is near the $2.9350 level or the 50% Fib retracement level of the upward move from the $2.6562 swing low to the $3.214 high.
If there is a downside break and a close below the $2.9350 level, the price might continue to decline toward the $2.880 support. The next major support sits near the $2.750 zone.
Technical Indicators
Hourly MACD – The MACD for XRP/USD is now losing pace in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.
Major Support Levels – $3.00 and $2.9350.
Major Resistance Levels – $3.0850 and $3.150.
Read the full article here