XRP Price Revisits Key Level: Will The Bulls Return?

by

As a seasoned analyst with years of market experience under my belt, I see XRP price finding itself once again at a critical juncture. After an unsuccessful attempt to break through the $2.70 resistance, it seems we’re looking at a familiar scenario – consolidation near the support at $2.20.

Initially, the cost of XRP dipped below its support at $2.50, indicating a potential decrease in value. Currently, it’s holding steady around $2.20, suggesting a pause, and there’s a possibility it may attempt to rise again above the $2.45 mark.

  • XRP price started another decline and traded below the $2.40 level.
  • The price is now trading below $2.50 and the 100-hourly Simple Moving Average.
  • There is a key bearish trend line forming with resistance at $2.50 on the hourly chart of the XRP/USD pair (data source from Kraken).
  • The pair might start another increase if it clears the $2.50 resistance.

XRP Price Revisits Key Support At $2.20

The value of XRP tried once more to break through the barrier at $2.70, but was unsuccessful in doing so. Instead, it pulled back from its gains, unlike Bitcoin and similar to Ethereum. The price also fell below the levels of $2.50 and $2.40.

At $2.166, a dip occurred, and currently, there’s a recovery phase underway, making up for previous losses. There was an advance beyond the $2.20 and $2.25 thresholds. The bullish forces managed to push it back above the 23.6% Fibonacci retracement level from the peak at $2.865 to the trough at $2.166.

Currently, the price is dipping below $2.50 and falls just short of the 100-hour Simple Moving Average. As we look ahead, there may be potential obstacles for the price increase around the $2.40 mark. The initial significant resistance can be found near the $2.50 level, which is also close to the 50% Fibonacci retracement point of the recent slide from the peak at $2.865 down to $2.166.

Additionally, a bearish trend line is emerging on the hourly chart of the XRP/USD pair, with potential resistance at $2.50. The price could potentially reach $2.550 as the next significant barrier. If it overcomes this level, it may aim for the $2.650 resistance, and further gains could target $2.70 or even $2.850 in the short term. A major challenge for the bulls could be breaking through $3.00 in the near future.

More Downsides?

If XRP struggles to surpass the $2.500 barrier, there’s a chance it might initiate another drop. A potential cushion in this scenario could be around $2.250. Should the price continue to fall, significant support may be found near $2.200.

Should a drop occur beyond the $2.20 mark and we see a closing below this point, the price could potentially fall further towards the $2.050 support level and the trendline. A significant support lies in the vicinity of the $2.00 region next.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.

Major Support Levels – $2.2000 and $2.0500.

Major Resistance Levels – $2.4000 and $2.5000.

Read More

2024-12-05 07:17