The cryptocurrency market is witnessing an upward movement in the price of XRP, as it climbs above the crucial $0.5400 zone. To sustain this bullish trend, the price must decisively surpass the $0.5550 resistance, potentially setting the stage for a more substantial rally.
Current Market Dynamics
- XRP is embarking on a fresh upward trajectory, targeting the $0.540 zone.
- The price is currently trading above $0.5410, supported by the 100-hourly Simple Moving Average.
- An essential bullish trend line is forming, offering support at $0.5395 on the hourly chart of the XRP/USD pair (sourced from Kraken).
- Breaking through the $0.550 and $0.5550 resistance levels could trigger further bullish momentum.
XRP Price Revisits Resistance Levels
Recently, XRP’s price underwent a correction from the $0.5550 resistance zone, dipping below the $0.5420 support level. However, bullish activity was evident at the $0.5320 level, establishing a low at $0.5317. Currently, the price is on the rise, mirroring the trends observed in Bitcoin and Ethereum.
The price successfully climbed above the $0.5380 and $0.540 resistance thresholds, surpassing the 50% Fibonacci retracement level from the downward move between the $0.5550 high and the $0.5317 low. XRP is now trading above the $0.540 mark, supported by the 100-hourly Simple Moving Average, with a significant bullish trend line forming support at $0.5395 on the hourly chart.
On the upside, XRP may encounter resistance near the $0.5460 level or the 61.8% Fibonacci retracement level of the downward move from the $0.5550 swing high to the $0.5317 low. The initial major resistance is situated around the $0.5500 level, followed by the next key resistance at $0.5550.
A decisive move above the $0.5550 resistance could propel the price towards $0.5650. Further gains might lead the price to challenge the $0.5800 resistance or even reach $0.5880 in the near term. The subsequent significant barrier could be at $0.6000.
Potential for Another Decline?
Should XRP fail to overcome the $0.550 resistance zone, a potential decline could ensue. Initial support on the downside is expected near the $0.540 level and the trend line. Subsequent major support is likely near $0.5320.
If a downward break occurs, closing below the $0.5320 level, XRP’s price might continue its decline towards the $0.5210 support in the near term, with the next major support around the $0.5050 zone.
Technical Indicators
- Hourly MACD: The MACD for XRP/USD is gaining momentum in the bullish zone.
- Hourly RSI (Relative Strength Index): The RSI for XRP/USD is currently above the 50 level, indicating bullish sentiment.
- Major Support Levels: $0.5400 and $0.5320.
- Major Resistance Levels: $0.5500 and $0.5550.
