XRP Price Fails To Ignite: Understanding The Downward Risks

XRP Price Fails To Ignite: Understanding The Downward Risks

XRP price is attempting to recover above the $0.4700 resistance zone. The price could decline again if it fails to clear the $0.4825 resistance zone.

• XRP price is still struggling to gain pace for a move above the $0.4800 resistance zone.
• The price is now trading above $0.4720 and the 100-hourly Simple Moving Average.
• There was a break above a crucial bearish trend line with resistance at $0.4710 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair might gain bullish momentum if there is a close above the $0.4825 resistance.

XRP Price Attempts Recovery

XRP price attempted a recovery wave above the $0.470 level like Bitcoin and Ethereum. The bulls were able to push the price above $0.4720 to push the price in a short-term bullish zone.

There was a break above a crucial bearish trend line with resistance at $0.4710 on the hourly chart of the XRP/USD pair. However, the pair is now facing resistance near the $0.4770 level. A high was formed at $0.4769 and the price is now consolidating losses.

The price is testing the 23.6% Fib retracement level of the upward move from the $0.4660 swing low to the $0.4769 high. It is now trading above $0.4720 and the 100-hourly Simple Moving Average.

On the upside, the price is facing resistance near the $0.4770 level. The first major resistance is near the $0.4785 level. The main hurdle is now near $0.4825. A clear move above the $0.4825 resistance might send the price toward the $0.4880 resistance.

The next major resistance is near the $0.500 level. A close above the $0.500 resistance zone could send the price higher toward $0.5120. Any more gains might send the price toward the $0.5250 resistance.

Another Decline?

If XRP fails to clear the $0.4770 resistance zone, it could start another decline. Initial support on the downside is near the $0.4740 level and the 100-hourly Simple Moving Average.

The next major support is at $0.470. If there is a downside break and a close below the $0.4700 level, the price might continue to decline. In the stated case, the price could even trade below the $0.4620 support in the near term.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is now losing pace in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.

Major Support Levels – $0.4700 and $0.4620.

Major Resistance Levels – $0.4770 and $0.4825.