Ripple started a strong decline after failing at USD 0.3700 against the US dollar. XRP price is currently testing a major support near USD 0.2600 and the 100 SMA (H4).
- Ripple is down more than 20% and has broken some key supports for USD 0.3000 against the US dollar.
- The price tested the USD 0.2600 support zone and the simple 100 (4 hours) moving average.
- A major bearish trendline is forming with resistance near USD 0.3320 on the 4-hour chart of the XRP / USD pair (data source from Kraken).
- The pair must remain above USD 0.2600 and USD 0.2500 to start fresh gains in the near term.
Ripple’s XRP price is down 20%
In recent days, Ripple’s XRP price has made two attempts to gain strength above USD 0.3650 and USD 0.3700. The bulls remained out of control, resulting in a sharp drop below the USD 0.3200 support.
Today, bitcoin and ethereum also saw a sharp decline, accelerating XRP’s decline below the USD 0.3000 support level. The price fell more than 20%, breaking the 23.6% Fib retracement level of the upward wave of the swing low from $ 0.1759 to $ 0.3700 swing high.
A major bearish trendline is also forming with resistance near USD 0.3320 on the 4-hour chart of the XRP / USD pair. The price is now testing the USD 0.2600 support zone and the simple 100 (4 hours) moving average.
The 50% Fib retracement level of the upward wave from the $ 0.1759 swing low to $ 0.3700 swing high is also acting as a strong support.
If the price does not remain above the USD 0.2600 and USD 0.2500 support levels, there is a risk of a sharp decline. In the case mentioned, the price could continue to decline towards the USD 0.2200 and USD 0.2120 support levels.
Fresh recovery in XRP?
If ripple remains stable above the USD 0.2500 level, there is a chance of another rise. An initial resistance on the upside is near the USD 0.2920 level.
The first major resistance for the bulls is near the USD 0.3000 level. The main resistance is now near USD 0.3300 and the bearish trendline. A close above the USD 0.3300 resistance zone could push the price towards USD 0.3700 and USD 0.3800 in the near term.
4-Hours MACD – The MACD for XRP / USD is gaining momentum in the bearish zone.
4-Hour RSI (Relative Strength Index) – The RSI for XRP / USD is now well below the 50 level.
Key Support Levels – USD 0.2600, USD 0.2500 and USD 0.2220.
Key Resistance Levels – USD 0.2920, USD 0.3120 and USD 0.3300.