XRP Price Gives Back Momentum, Traders Reassess the Bullish Setup

[Ben Graham]

XRP price failed to surpass $2.20 and started another decline. The price is now correcting gains and might struggle to stay above $2.080.

• XRP price started a downside correction and tested the $2.080 zone.
• The price is now trading below $2.120 and the 100-hourly Simple Moving Average.
• There is a bullish trend line forming with support at $2.080 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair could start another increase if it clears $2.150.

XRP Price Starts Fresh Decline

XRP price failed to clear $2.20 and started a downside correction below the $2.150 zone, underperforming Bitcoin and Ethereum. The price dipped below the $2.120 and $2.10 levels to enter a negative zone.

The price even dipped below the 61.8% Fib retracement level of the upward move from the $2.032 swing low to the $2.193 high. The bulls are now active near $2.080. There is also a bullish trend line forming with support at $2.080 on the hourly chart of the XRP/USD pair.

The price is now trading below $2.120 and the 100-hourly Simple Moving Average. If there is a fresh upward move, the price might face resistance near the $2.120 level. The first major resistance is near the $2.150 level, above which the price could rise and test $2.20.

A clear move above the $2.20 resistance might send the price toward the $2.250 resistance. Any more gains might send the price toward the $2.320 resistance. The next major hurdle for the bulls might be near $2.350.

More Losses?

If XRP fails to clear the $2.120 resistance zone, it could start a fresh decline. Initial support on the downside is near the $2.080 level. The next major support is near the $2.070 level and the 76.4% Fib retracement level of the upward move from the $2.032 swing low to the $2.193 high.

If there is a downside break and a close below the $2.070 level, the price might continue to decline toward $2.050. The next major support sits near the $2.020 zone, below which the price could continue lower toward $2.00.

Technical Indicators

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

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

Major Support Levels – $2.080 and $2.050.

Major Resistance Levels – $2.120 and $2.150.