Ripple is struggling to clear the $0.405 resistance zone against the US Dollar. XRP price must stay above $0.380 to avoid a sharp bearish reaction.
- Ripple is currently moving lower from the $0.4050 resistance zone against the US dollar.
- The price is now trading above $0.395 and the 100 simple moving average (4-hours).
- There is a major bearish trend line forming with resistance near $0.400 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
- The pair could rally if there is a clear move above the $0.400 and $0.405 resistance levels.
Ripple Price Aims Higher
This past week, ripple’s XRP started a decent increase from the $0.364 zone against the US Dollar. The price was able to climb above the $0.385 and $0.392 resistance levels, similar to bitcoin and ethereum.
During the increase, there was a move above the 50% Fib retracement level of the downward move from the $0.4204 swing high to $0.3621 low. It even spiked above the $0.4000 resistance, but there was no upside continuation.
A high was formed near $0.4066 and the price is now slowly moving lower. XRP price is still trading above $0.395 and the 100 simple moving average (4-hours).
On the upside, an initial resistance is near the $0.400 zone. There is also a major bearish trend line forming with resistance near $0.400 on the 4-hours chart of the XRP/USD pair. The trend line is near the 76.4% Fib retracement level of the downward move from the $0.4204 swing high to $0.3621 low.
Source: XRPUSD on TradingView.com
The next key resistance is near the $0.420 level. A successful break above the $0.420 resistance might send the price towards the $0.450 resistance. Any more gains might send the price towards the $0.485 level.
More Losses in XRP?
If ripple fails to clear the $0.400 resistance zone, it could continue to move down. An initial support on the downside is near the $0.390 level.
The next major support is near $0.380. If there is a downside break and close below the $0.380 level, xrp price could extend losses. In the stated case, the price could even decline below the $0.365 support.
Technical Indicators
4-Hours MACD – The MACD for XRP/USD is now losing pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.
Major Support Levels – $0.390, $0.380 and $0.365.
Major Resistance Levels – $0.400, $0.420 and $0.450.
