XRP Price Downtrend Extends — Sellers Target Fresh Lows After Support Break

[Ben Graham]

XRP price started a fresh decline below $2.50. The price is now showing bearish signs and is at risk of more losses below $2.30 in the near term.

• XRP price gained bearish momentum and traded below $2.350.
• The price is now trading below $2.420 and the 100-hourly Simple Moving Average.
• There is a bearish trend line forming with resistance at $2.550 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair could start a recovery wave if it stays above $2.30.

XRP Price Dips Further

XRP price remained in a bearish zone below $2.550 and extended losses, like Bitcoin and Ethereum. The price dipped below the $2.50 and $2.420 levels.

The decline gained pace after there was a close below $2.40. The price even tested $2.250. A low was formed at $2.260, and the price is now correcting some losses. There was a move above the 23.6% Fib retracement level of the downward move from the $2.552 swing high to the $2.260 low.

The price is now trading below $2.40 and the 100-hourly Simple Moving Average. If there is a fresh upward move, the price might face resistance near the $2.40 level and the 50% Fib retracement level of the downward move from the $2.552 swing high to the $2.260 low.

The first major resistance is near the $2.480 level, above which the price could rise and test $2.550. There is also a bearish trend line forming with resistance at $2.550 on the hourly chart of the XRP/USD pair.

A clear move above the $2.550 resistance might send the price toward the $2.60 resistance. Any more gains might send the price toward the $2.650 resistance. The next major hurdle for the bulls might be near $2.720.

Another Decline?

If XRP fails to clear the $2.50 resistance zone, it could start a fresh decline. Initial support on the downside is near the $2.320 level. The next major support is near the $2.30 level.

If there is a downside break and a close below the $2.30 level, the price might continue to decline toward $2.250. The next major support sits near the $2.220 zone, below which the price could continue lower toward $2.20.

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 below the 50 level.

Major Support Levels – $2.320 and $2.250.

Major Resistance Levels – $2.50 and $2.550.