XRP price is correcting gains from the $0.620 resistance against the US Dollar. The price might test the $0.5760 support, where the bulls could take a stand.
- XRP started a strong increase above the $0.580 resistance.
- The price is now trading above $0.585 and the 100 simple moving average (4 hours).
- There is a major bullish trend line forming with support near $0.5760 on the 4-hour chart of the XRP/USD pair (data source from Kraken).
- The pair might correct further lower, but the bulls could remain active near $0.5760.
XRP Price Remains In Uptrend
After forming a base above the $0.532 level, XRP started a fresh rally. There was a strong move above the $0.555 and $0.565 resistance levels. It even outperformed Bitcoin and Ethereum.
A high was formed near $0.6204 and the price is now correcting gains. There was a decline below the $0.600 level. The price even moved below the 23.6% Fib retracement level of the upward move from the $0.5316 swing low to the $0.6204 high.
XRP is now trading above $0.585 and the 100 simple moving average (4 hours). There is also a major bullish trend line forming with support near $0.5760 on the 4-hour chart.
Source: XRPUSD on TradingView.com
On the upside, immediate resistance is near the $0.5950 level. The first major resistance is $0.600. A close above the $0.600 level could send the price toward the $0.620 resistance. If the bulls remain in action above the $0.620 resistance level, there could be a rally toward the $0.650 resistance. Any more gains might send XRP toward the $0.665 resistance.
Are Dips Supported?
If XRP fails to clear the $0.600 resistance zone, it could continue to move down. Initial support on the downside is near the $0.576 zone and the trend line.
The trend line is near the 50% Fib retracement level of the upward move from the $0.5316 swing low to the $0.6204 high. The next major support is at $0.5650. If there is a downside break and a close below the $0.5650 level, XRP price might accelerate lower. In the stated case, the price could retest the $0.532 support zone.
Technical Indicators
4-Hours MACD – The MACD for XRP/USD is now losing pace in the bullish zone.
4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.
Major Support Levels – $0.576, $0.565, and $0.532.
Major Resistance Levels – $0.600, $0.620, and $0.650.
Aayush Jindal
Aayush is a Senior Forex, Cryptocurrencies, and Financial Market Strategist. He specializes in market strategies and technical analysis and has spent over 15 years as a financial markets contributor and observer. He also founded an IT company and works rigorously in providing high-quality software services. Aayush possesses strong technical analytical skills and is well known for his entertaining and informative analysis of the currency, commodities, Bitcoin, and Ethereum markets. Follow him on Twitter @AayushJs.
