Ripple is holding a couple of important supports near $0.2800 against the US Dollar. XRP price is currently testing a crucial resistance near $0.2980, above which it could rally significantly.
- Ripple is trading above the $0.2800 and $0.2850 support levels against the US dollar.
- The price is showing positive signs, but it is facing a huge barrier near the $0.2980-$0.3000 zone.
- There is a key bullish trend line with support near $0.2810 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
- The pair is likely to start a strong increase if it clears $0.2980 and the 100 simple moving average (4-hours).
Ripple Price Is Testing Major Barrier
After a sustained downward move, ripple found support near the $0.2800 region. A low is formed near the $0.2790 level and XRP price is currently correcting higher.
There was an upside break above the $0.2850 and $0.2900 resistance levels. The price even climbed above the 23.6% Fib retracement level of the downward move from the $0.3274 high to $0.2790 low.
There is also a key bullish trend line with support near $0.2810 on the 4-hours chart of the XRP/USD pair. The pair is now trading above the $0.2920 pivot level, but it is facing a huge barrier near the $0.2980-$0.3000 zone. The 100 simple moving average (4-hours) is also near the $0.2980 level to prevent an upside break.
Ripple (XRP) price trades near $0.2980. Source: TradingView.com
If there is a clear break above the $0.3000 resistance and the 100 SMA, there could be a sharp increase. The next hurdle is seen near the $0.3030 level. It is close to the 50% Fib retracement level of the downward move from the $0.3274 high to $0.2790 low.
A successful close above the $0.3000 and $0.3030 resistance levels might open the doors for a sustained upward move towards the $0.3120 level. Any further gains could lead the price towards the $0.3250 resistance level or the $0.3274 swing high. The next target for the bulls above $0.3274 might be $0.3320.
Bearish Wave in XRP?
If ripple fails to clear the $0.3000 and $0.3030 resistance levels, there is a risk of a bearish reaction. An initial support is near the $0.2880 level.
The main support is near the $0.2850 level and a connecting bullish trend line. A clear break below the $0.2850 level might set the pace for a larger decline towards the $0.2650 level.
Technical Indicators
4-Hours MACD – The MACD for XRP/USD is slowly moving into the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is currently struggling to clear the 50 level.
Major Support Levels – $0.2880, $0.2850 and $0.2800.
Major Resistance Levels – $0.2980, $0.3000 and $0.3030.
