Key Highlights
- Ripple price declined further and broke a key support at $0.4500 against the US dollar.
- Yesterday’s highlighted key contracting triangle was breached with support at $0.4530 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The pair is currently under pressure and is facing resistances near the $0.4520 and $0.4550 levels.
Ripple price is in a negative zone against the US Dollar and Bitcoin. XRP/USD is likely to retest the $0.4300 support if sellers remain in action.
Ripple Price Decline
There was no upside move above $0.4560 in Ripple price against the US Dollar. The XRP/USD pair faced an increased selling pressure, resulting in a downside move below the $0.4500 support. The price declined sharply and settled below the $0.4500 support and the 100 hourly simple moving average. These are bearish signs and suggests more ranging moves with a bearish angle below $0.4600.
During the decline, yesterday’s highlighted key contracting triangle was breached with support at $0.4530 on the hourly chart of the XRP/USD pair. The pair even broke the $0.4400 support and traded as low as $0.4342. Later, it corrected higher and moved above the $0.4400 level. However, the upside move was capped by the 50% Fib retracement level of the last drop from the $0.4560 high to $0.4342 low. Moreover, there is a new connecting bearish trend line in place with resistance at $0.4460. Therefore, a proper break above $0.4460 is needed for a recovery.
Looking at the chart, the price is also likely to face a strong resistance near $0.4500 and the 100 hourly SMA. It also coincides with the 76.4% Fib retracement level of the last drop from the $0.4560 high to $0.4342 low. Overall, a close above $0.4500 and $0.4550 is needed for a decent recovery in XRP/USD.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is mostly placed in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is moving higher towards the 50 level.
Major Support Level – $0.4300
Major Resistance Level – $0.4550
