The digital currency XRP experienced a notable rally, trading above the $3.00 mark. However, it is now undergoing a correction, with the $2.75 support area likely to be tested.
XRP saw a significant rise, breaking past the $2.850 zone. Currently, it’s trading above $2.80 and the 100-hourly Simple Moving Average. A crucial bullish trend line has been identified, with the support at $2.820 on the hourly chart of the XRP/USD pair (data sourced from Kraken). If it maintains above the $2.750 area, another upward movement could be on the horizon.
Following a secure position above the $2.650 level, similar to Bitcoin and Ethereum, XRP initiated a new surge. The bulls led the way, pushing the price beyond the $3.00 mark. Having reached a high of $3.0324, the asset is now seeing some losses. It slipped below the 50% Fibonacci retracement level of the rise from the $2.660 low to the $3.0324 high.
Now trading above $2.80 and the 100-hourly Simple Moving Average, a crucial bullish trend line with support at $2.820 on the XRP/USD pair’s hourly chart is also present. On the uptake, resistance is expected near the $2.920 level. The primary major resistance is around the $2.950 level. A decisive move beyond the $2.950 resistance could propel the price toward the $3.020 resistance. Further gains might push the price to the $3.080 resistance, or even $3.120 in the short term. The next significant barrier for the bulls could be the $3.20 zone.
However, if XRP fails to break through the $2.950 resistance zone, another descent could begin. Initial support on the downside is near the $2.820 level and the trend line zone. The subsequent major support is around the $2.80 level and the 76.4% Fibonacci retracement level of the upward move from the $2.660 low to the $3.0324 high.
If a downward break occurs, closing below the $2.80 level, the price may continue to drop towards the $2.750 support. The next significant support rests near the $2.650 area.
Technical Indicators
- Hourly MACD – The MACD for XRP/USD is currently slowing down in the bullish zone.
- Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now under the 50 point.
- Major Support Levels – $2.820 and $2.750.
- Major Resistance Levels – $2.950 and $3.020.
