Key Highlights
- Ripple price broke a major support area near $0.4750 to move into a bearish zone against the US dollar.
- There is a key bearish trend line in place with resistance at $0.4700 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair must move back above $0.4750 and the 100 hourly simple moving average to recover.
Ripple price is under significant pressure against the US Dollar and Bitcoin. XRP/USD is likely to extend declines if it fails to move back above $0.4750.
Ripple Price Decline
Yesterday, there was a bearish reaction below $0.5000 in Ripple price against the US Dollar. The XRP/USD pair declined and broke the $0.4900 support area. More importantly, the price failed to stay above a key support at $0.4750, which resulted in more losses. The price is now trading in a bearish zone below $0.4750 and the 100 hourly simple moving average.
Recently, the price broke the 61.8% Fib retracement level of the last wave from the $0.4428 low to $0.5239 high. Therefore, there is a risk of more losses below the $0.4700 level in the near term. An immediate support is near the $0.4600 level. It coincides with the 76.4% Fib retracement level of the last wave from the $0.4428 low to $0.5239 high. A break below $0.4600 could push the price back towards the $0.4500 support area. On the upside, there is a key bearish trend line in place with resistance at $0.4700 on the hourly chart of the XRP/USD pair.
Looking at the chart, the price is facing a major resistance near $0.4750 and the 100 hourly SMA. A push above this could spark an upward move towards the $0.4900 level. If the price fails to move above $0.4750, it may perhaps decline towards $0.4500.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is back in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now well below the 50 level.
Major Support Level – $0.4600
Major Resistance Level – $0.4750
