Ripple trimmed its losses after bitcoin’s rally against the US Dollar. XRP price gained 30% and it is now trading well above the $0.5500 resistance level.
- Ripple started a strong increase from the $0.4350 support zone against the US dollar.
- The price is now trading well above $0.5200 and the 100 simple moving average (4-hours).
- There was a break above a key declining channel with resistance near $0.5300 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
- The pair is gaining pace and it seems like the bulls are aiming a test of the $0.6000 resistance zone.
Ripple’s XRP Price is Gaining Bullish Momentum
Yesterday, we saw a nasty decline in ripple’s XRP price below $0.4500. The price traded as low as $0.4352 and recently started a fresh increase. There was a sharp rally in bitcoin, Ethereum, and XRP.
The bulls took over the crypto market and XRP surged above the $0.5000 resistance level. The upward move was such that the price gained over 30%. During the increase, there was a break above a key declining channel with resistance near $0.5300 on the 4-hours chart of the XRP/USD pair.
The pair even surpassed the 50% Fib retracement level of the key downward wave from the $0.5945 high to $0.4350 swing low. It even spiked above the $0.5500 resistance zone.
Source: XRPUSD on TradingView.com
It is now trading near the $0.5700 resistance level and the 100 simple moving average (4-hours). It is showing a lot of positive signs. An immediate resistance is near the $0.5890 level. It is close to the 61.8% Fib retracement level of the key downward wave from the $0.5945 high to $0.4350 swing low.
A close above the $0.5890 level could set the pace for a sustained upward move towards the $0.6000 and $0.6120 levels in the near term.
Dips Supported in XRP?
If ripple starts a short-term downside correction, it could find support near the $0.5500 level. The first major support is near the $0.5400 levels, where the bulls are likely to take a stand.
The main support is near the broken channel trend line or $0.5200. Any more losses may perhaps decrease the current bullish pressure.
Technical Indicators
4-Hours MACD – The MACD for XRP/USD is gaining momentum in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now well above the 50 level.
Major Support Levels – $0.5500, $0.5400 and $0.5200.
Major Resistance Levels – $0.5800, $0.5890 and $0.6000.
