Recent Developments in XRP Price Movement
The XRP price has recently embarked on a downward trajectory, sliding below the critical $2.350 mark. This shift has seen the price retesting the $2.20 support zone, and currently, the digital currency is making attempts to initiate a recovery wave.
- XRP price began a fresh decline from the $2.720 zone.
- The current trading value is below $2.50, also beneath the 100-hourly Simple Moving Average.
- An emerging bearish trend line is evident with resistance at $2.45 on the hourly chart of the XRP/USD pair, as per Kraken data.
- The pair might witness a renewed increase if it successfully surpasses the $2.40 resistance level.
The Plunge to $2.20: A Closer Look
XRP’s attempt to break past the $2.50 mark was unsuccessful, prompting a fresh decline, mirroring movements seen in Bitcoin and Ethereum. This downturn saw the price drop below the $2.45 and $2.40 thresholds.
The decline exceeded 5%, with a significant dip below the $2.320 support level, eventually spiking under the $2.20 support. A low point was recorded at $2.171, from which the price is now attempting to recover. Notably, there has been an upward correction past the $2.250 level.
The price managed to clear the 23.6% Fibonacci retracement level from the downward movement between the $2.720 swing high and the $2.171 low. However, it continues to trade below $2.50 and remains under the 100-hourly Simple Moving Average.
Resistance Levels and Future Projections
On the upward path, XRP might encounter resistance around the $2.40 mark, with the first significant resistance approximately at $2.450. An emerging bearish trend line is forming resistance at $2.45 on the hourly chart of the XRP/USD pair. This trend line is nearly aligned with the 50% Fibonacci retracement level from the $2.720 swing high to the $2.171 low.
The subsequent resistance level is at $2.50. Should there be a decisive move beyond the $2.50 resistance, we could see the price advancing toward the $2.55 resistance. Further gains may propel the price toward $2.620 or even $2.80 in the near future. The next significant challenge for bullish traders could be the $3.00 mark.
Assessing Support Levels: Are Dips Sustainable?
If XRP struggles to break through the $2.40 resistance zone, it could be poised for another downturn. Initial support on the downside is anticipated near the $2.25 level, with the next key support positioned around $2.20.
Should there be a downward breach and closure below the $2.20 level, the price may continue its decline toward the $2.050 support. Beyond this, the next major support is likely near the $2.00 zone.
Technical Indicators
- Hourly MACD: The MACD for XRP/USD is presently losing momentum within the bearish zone.
- Hourly RSI (Relative Strength Index): The RSI for XRP/USD is now positioned below the 50 mark, indicating waning momentum.
Key Support and Resistance Levels
- Major Support Levels: $2.20 and $2.050
- Major Resistance Levels: $2.40 and $2.450
As the market continues to evolve, keeping a close eye on these levels and indicators will be crucial for traders and investors looking to navigate the XRP landscape effectively.
