XRP Price Starts Recovery Move – Will It Lead to a Bullish Reversal?

[Ben Graham]

XRP price started a downside correction below the $3.20 zone. The price is now attempting a recovery and might aim for a move above the $3.180 level.

• XRP price started a fresh pullback below the $3.20 zone.
• The price is now trading below $3.20 and the 100-hourly Simple Moving Average.
• There was a break above a bearish trend line with resistance at $3.120 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair could start another increase if it stays above the $3.080 zone.

XRP Price Eyes Fresh Increase

XRP price started a fresh decline below the $3.30 zone, unlike Bitcoin and Ethereum. The price declined below the $3.250 and $3.220 support levels.

The price dipped below the 50% Fib retracement level of the upward move from the $3.004 swing low to the $3.330 high. The bears even pushed the price below the $3.120 support zone. Finally, the bulls appeared near the $3.080 level.

The price found support near the 76.4% Fib retracement level of the upward move from the $3.004 swing low to the $3.330 high. Recently, there was a break above a bearish trend line with resistance at $3.120 on the hourly chart of the XRP/USD pair.

The price is now trading below $3.20 and the 100-hourly Simple Moving Average. On the upside, the price might face resistance near the $3.170 level. The first major resistance is near the $3.20 level. A clear move above the $3.20 resistance might send the price toward the $3.250 resistance. Any more gains might send the price toward the $3.330 resistance or even $3.350 in the near term. The next major hurdle for the bulls might be near the $3.40 zone.

Another Drop?

If XRP fails to clear the $3.20 resistance zone, it could start another decline. Initial support on the downside is near the $3.080 level. The next major support is near the $3.020 level.

If there is a downside break and a close below the $3.020 level, the price might continue to decline toward the $3.00 support. The next major support sits near the $2.980 zone where the bulls might take a stand.

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 – $3.080 and $3.020.

Major Resistance Levels – $3.170 and $3.20.