XRP recently dropped to the $0.5550 level before finding support from the bulls. The price is now consolidating and could be positioning for a fresh push above $0.580.
XRP Price Consolidation Begins
After extending its losses below the $0.580 level, similar to Bitcoin and Ethereum, XRP tested the $0.5550 zone. A low was established at $0.5538, and the price has since started an upward correction.
XRP moved above the $0.5580 and $0.5620 levels, even briefly spiking above the 50% Fibonacci retracement level of the recent decline from the $0.60 high to the $0.5538 low. However, the bulls were unable to sustain the momentum, and the price faced resistance, keeping it below $0.5850.
Currently, XRP is trading below $0.580 and the 100-hourly Simple Moving Average. On the upside, the price is encountering resistance near the $0.5720 level, where a key bearish trend line has formed on the hourly chart of the XRP/USD pair.
The first significant resistance lies near the $0.5885 level, close to the 76.4% Fibonacci retracement level of the downward move from the $0.60 high to the $0.5538 low. The next major resistance could be at $0.60. A decisive move above this level might push XRP toward $0.6050, with further resistance at $0.6160. If the momentum continues, XRP could aim for the $0.6250 or even $0.6320 levels in the near term.
Risk of Another Decline?
If XRP fails to break through the $0.5720 resistance, it could face another downturn. Initial support on the downside is near the $0.5640 level, with more substantial support at $0.5550.
A break below $0.5550 could lead to a further decline toward the $0.5320 support level. The next significant support sits at $0.5120.
Technical Indicators
Hourly MACD: The MACD for XRP/USD is losing momentum in the bearish zone.
Hourly RSI (Relative Strength Index): The RSI for XRP/USD is currently below the 50 level, indicating weaker momentum.
Key Support Levels: $0.5640 and $0.5550.
Key Resistance Levels: $0.5720 and $0.5885.
XRP’s price is at a critical juncture, and its next move will depend on whether the bulls can push it past key resistance levels or if it will face another round of declines.
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