Key Highlights
- Ripple price traded as high as $0.5626 and later corrected lower against the US dollar.
- There was a break below a major bullish trend line with support at $0.5300 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair could correct further lower towards the $0.5080 or $0.4940 support level in the near term.
Ripple price is correcting recent gains against the US Dollar and Bitcoin. XRP/USD remains nicely supported on the downside near the $0.5080 level.
Ripple Price Analysis
Yesterday, there was a solid bullish pattern formed above the $0.5400 level in ripple price against the US Dollar. The XRP/USD pair traded above the $0.5600 level and formed an intraday high at $0.5626. Later, the price started a bearish correction and traded below the $0.5400 level. During the slide, the price broke the 23.6% Fib retracement level of the last wave from the $0.4609 low to $0.5626 high.
More importantly, there was a break below a major bullish trend line with support at $0.5300 on the hourly chart of the XRP/USD pair. The pair even traded below the $0.5280 support level recently. The next key support is near the $0.5115 level. It represents the 50% Fib retracement level of the last wave from the $0.4609 low to $0.5626 high. If there are further losses, the price may find support near $0.5080 or $0.4940. Besides, the 100 hourly simple moving average is positioned near the $0.4995 level to act as a strong support.
Looking at the chart, ripple price is currently correcting gains from the $0.5626 high. Having said that, there are many supports on the downside between $0.4940 and $0.5115. Once the current wave is complete, the price may perhaps bounce back above $0.5400.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD moved back in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD moved sharply below the 50 level.
Major Support Level – $0.5080
Major Resistance Level – $0.5400
