Key Highlights
- Ripple price recovered from the $0.4248 low, but it failed to settle above $0.4750 against the US dollar.
- There is a short-term declining channel in place with resistance at $0.4650 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair must clear the $0.4650 and $0.4750 resistance levels to recover further in the near term.
Ripple price struggled near key resistance levels against the US Dollar and Bitcoin. XRP/USD must settle above the $0.4750 barrier for more upsides towards $0.5000.
Ripple Price Resistance
This past week, Ripple price traded towards the $0.4200 support area against the US Dollar. The XRP/USD pair traded as low as $0.4248 before buyers appeared. A fresh upward wave was initiated and the price moved above the $0.4500 and $0.4600 resistance levels. The price traded as high as $0.4817, but buyers fail to keep the price above the $0.4750 resistance.
XRP price declined and broke the 23.6% Fib retracement level of the wave from the $0.4248 low to $0.4817 high. However, the decline was protected by the $0.4500-20 support area. More importantly, there was no close below the 50% Fib retracement level of the wave from the $0.4248 low to $0.4817 high. At the moment, it seems like there is a short-term declining channel in place with resistance at $0.4650 on the hourly chart of the XRP/USD pair. The pair is attempting an upside break above the $0.4620-50 resistance zone. Above this, the price must clear the all-important $0.4750 barrier.
Looking at the chart, the price is trading nicely in a bullish zone above $0.4500. Having said that, XRP must settle above $0.4750 to hold gains. If not, there is a risk of a downside reaction below the $0.4500 support level in the near term.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is mostly flat in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is stable around the 55 level.
Major Support Level – $0.4500
Major Resistance Level – $0.4750
