Ripple Price (XRP) Showing Positive Signs: More Gains Possible
- Ripple price started a strong recovery above the $0.3900 level against the US dollar.
- The price even broke the $0.4000 level and it recently tested the $0.4100 resistance area.
- There is a key bullish trend line forming with support near $0.3920 on the hourly chart of the XRP/USD pair (data source from Kraken).
- The price is likely to bounce back above $0.4000 as long it is trading above the $0.3900 support.
Ripple price is showing a few positive signs above $0.3900 against the US Dollar, and recovered vs bitcoin. XRP price might dip a few points, but it is likely to find bids near $0.3900.
Ripple Price Analysis
Recently, bitcoin price settled above the $11,000 level and started trading in a range. However, ripple price started a decent upward move after it tested the $0.3750 support area against the US Dollar. The XRP/USD pair broke the $0.3900 resistance level to move into a positive zone. Moreover, there was a break above the $0.4000 resistance and the 100 hourly simple moving average. It even spiked above $0.4100 and formed a new swing high at $0.4108.
Recently, it started a downside correction below the $0.4000 and $0.3950 levels. Moreover, there was a break below the $0.3900 level, but the $0.3860 level acted as a support. The price bounce back above $0.3920 and the 100 hourly simple moving average. Moreover, there was a break above the 50% Fib retracement level of the recent decline from the $0.4108 high to $0.3863 low.
However, it seems like the $0.4000 level is acting as a resistance. Ripple price even failed to test the 61.8% Fib retracement level of the recent decline from the $0.4108 high to $0.3863 low. It is currently moving lower towards the $0.3920 support. Besides, there is a key bullish trend line forming with support near $0.3920 on the hourly chart of the XRP/USD pair.
If there is a downside break below the trend line and $0.3900, the price could revisit the $0.3860 support level. Should there be more losses, the next stop for sellers could be near the $0.3800 level. On the upside, an initial resistance is near the $0.4000 barrier, above which there could be more gains towards $0.4100.
Looking at the chart, ripple price is clearly trading with a positive bias, but it must stay above $0.3900 to continue higher towards $0.4100 in the near term.
Hourly MACD – The MACD for XRP/USD is slowly moving back in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently declining and it is just below the 50 level.
Major Support Levels – $0.3840, $0.3820 and $0.3750.
Major Resistance Levels – $0.3920, $0.3950 and $0.4000.