Analysis

Ripple (XRP) Price Drops Significantly, Next Leg Underway?

  • Ripple price declined further below the $ 0.3040 and $ 0.3000 support levels against the US dollar.
  • The price remained in a bearish zone below $ 0.3200 as discussed in yesterday’s analysis.
  • There is a major bearish trend line in place with resistance at $ 0.3060 on the hourly chart of the XRP/USD pair (data source from Kraken).
  • The pair could correct higher in the short term, but it is likely to decline further towards $ 0.2850.

Ripple price extended losses and broke key supports against the US Dollar and bitcoin. XRP is currently in a bearish zone and it could continue to move down towards $ 0.2850 or $ 0.2820.

Ripple Price Analysis

Yesterday, we saw the start of a strong decline from the $ 0.3300 resistance area in ripple price against the US Dollar. The XRP/USD pair declined sharply below the $ 0.3250 and $ 0.3220 support levels. There was even a close below the $ 0.3200 level and the 100 hourly simple moving average. A swing low was formed near $ 0.3175 and later the price corrected higher. It moved above $ 0.3200, but it failed below the 50% Fib retracement level of the drop from the $ 0.3288 high to $ 0.3175 low.

As a result, there was a fresh decline below the $ 0.3175 support area (as discussed in yesterday’s analysis). There was a sharp decline below the $ 0.3100 and $ 0.3040 support levels. The price even broke the $ 0.3000 support to register more than 10% intraday drop. It traded close to the $ 0.2900 level and a swing low was formed at $ 0.2904. At the moment, the price is consolidating losses above the $ 0.2910 level. It recovered above the 23.6% Fib retracement level of the recent drop from the $ 0.3216 high to $ 0.2904 low. On the upside, there are many hurdles near the $ 0.3050 and $ 0.3060 levels.

There is also a major bearish trend line in place with resistance at $ 0.3060 on the hourly chart of the XRP/USD pair. The trend line coincides with the 50% Fib retracement level of the recent drop from the $ 0.3216 high to $ 0.2904 low. Therefore, it won’t be easy for the bulls to push the price above the $ 0.3050 and $ 0.3060 resistance levels.

Ripple Price Analysis XRP Chart

Looking at the chart, ripple price is clearly under a lot of bearish pressure below $ 0.3100 and the 100 hourly SMA. There is a risk of more losses below the $ 0.2900 support levels. Sellers may push the price towards $ 0.2850 or even $ 0.2820.

Technical Indicators

Hourly MACD – The MACD for XRP/USD could move back in a bearish zone in the short term.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently well below the 50 and 40 levels.

Major Support Levels – $ 0.2900, $ 0.2850 and $ 0.2820.

Major Resistance Levels – $ 0.3050, $ 0.3060 and $ 0.3070.

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Analysis – NewsBTC

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