XRP Price Under Pressure — Bulls Attempt To Defend Key Support Zone

[Ben Graham]

XRP price started a recovery wave from $2.20. The price is struggling to clear $2.50 and might decline if it trades below the $2.320 support.

• XRP price is moving lower from the $2.550 zone.
• The price is now trading below $2.420 and the 100-hourly Simple Moving Average.
• There was a break below a connecting bullish trend line with support at $2.320 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair could start a fresh increase if it clears the $2.450 resistance.

XRP Price Faces Resistance

XRP price formed a base above $2.250 and started a recovery wave, like Bitcoin and Ethereum. The price surpassed the $2.40 and $2.420 resistance levels.

The bulls were able to push the price above $2.50. However, the bears remained active near the $2.550 level. A high was formed at $2.5520 and the price recently corrected some gains. It dipped below the 50% Fib retracement level of the upward move from the $2.190 swing low to the $2.5520 high.

Besides, there was a break below a connecting bullish trend line with support at $2.320 on the hourly chart of the XRP/USD pair. The price is now trading below $2.420 and the 100-hourly Simple Moving Average.

If there is a fresh upward move, the price might face resistance near the $2.420 level. The first major resistance is near the $2.50 level, above which the price could rise and test $2.550.

A clear move above the $2.550 resistance might send the price toward the $2.580 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 Drop?

If XRP fails to clear the $2.420 resistance zone, it could start a fresh decline. Initial support on the downside is near the $2.320 level and the 61.8% Fib retracement level of the upward move from the $2.190 swing low to the $2.5520 high. The next major support is near the $2.2750 level.

If there is a downside break and a close below the $2.2750 level, the price might continue to decline toward $2.220. The next major support sits near the $2.20 zone, below which the price could continue lower toward $2.120.

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 – $2.320 and $2.2750.

Major Resistance Levels – $2.420 and $2.50.