Key Highlights
- Ripple price failed to break an important resistance at $0.4675 and declined against the US dollar.
- There was a break below a connecting bullish trend line with support at $0.4620 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair is now trading well below the $0.4600 support and the 100 hourly simple moving average.
Ripple price is under pressure once again against the US Dollar and Bitcoin. XRP/USD has to stay above the $0.4500 support to avoid further declines.
Ripple Price Decline
Yesterday, we discussed a crucial hurdle near the $0.4700 resistance level in Ripple price against the US Dollar. The XRP/USD pair failed to move above the $0.4675 and $0.4700 resistance levels. As a result, there was a downside move and the price broke the $0.4600 support. It also broke the 50% Fib retracement level of the last wave from the $0.4375 low to $0.4700 high.
During the decline, there was a break below a connecting bullish trend line with support at $0.4620 on the hourly chart of the XRP/USD pair. The pair settled below the $0.4600 support and the 100 hourly simple moving average. It even spiked below the 61.8% Fib retracement level of the last wave from the $0.4375 low to $0.4700 high. However, the $0.4500 support acted as a barrier for sellers. At the moment, the price is trading in a tiny range near the $0.4500 level. On the upside, the previous support near $0.4620 and the 100 hourly SMA are likely to stop gains if the price corrects higher.
Looking at the chart, the price is trading in a range between $0.4450-0.4700. To gain upside momentum, ripple must break the $0.4700 resistance in the near term. If not, there is a risk of a break towards $0.4200.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is slowly reducing its bearish slope.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is correcting higher from the oversold levels.
Major Support Level – $0.4500
Major Resistance Level – $0.4700
