Recovery Could Derail If This Support Gives Way

Ripple is attempting an upside break above the $0.365 resistance zone against the US Dollar. XRP price could fail to gain pace if it stays below the $0.3720 resistance.

• Ripple is currently recovering above the $0.355 resistance zone against the US dollar.
• The price is now trading near $0.360 and the 100 simple moving average (4-hours).
• There was a break above a major bearish trend line with resistance near $0.3480 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
• The pair could start a fresh decline if it breaks the $0.3550 support and pivot zone.

Ripple Price Attempts Recovery

After a major decline, ripple’s XRP found support near the $0.3320 zone against the US Dollar. The price formed a base above the $0.3320 level before it started a recovery wave.

There was a decent increase above the $0.3450 and $0.3500 resistance levels. Besides, there was a break above a major bearish trend line with resistance near $0.3480 on the 4-hours chart of the XRP/USD pair. In the past few sessions, xrp price gained pace above the $0.3550 resistance zone, outperforming bitcoin and ethereum.

The price even spiked above the 50% Fib retracement level of the key decline from the $0.3965 swing high to $0.3320 low. The price is now trading near $0.360 and the 100 simple moving average (4-hours).

An immediate resistance is near the $0.370 zone. The next key resistance is near the $0.372 level. It is near the 61.8% Fib retracement level of the key decline from the $0.3965 swing high to $0.3320 low.

Source: XRPUSD on TradingView.com

A successful break above the $0.372 resistance might send the price towards the $0.400 resistance. Any more gains might send the price towards the $0.425 level in the coming days.

Fresh Decline in XRP?

If ripple fails to clear the $0.372 resistance zone, it could start a fresh decline. An initial support on the downside is near the $0.358 level.

The next major support is near $0.355. If there is a downside break and close below the $0.355 level, xrp price could extend losses. In the stated case, the price could even decline below the $0.332 support.

Technical Indicators

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

4-Hours RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.

Major Support Levels – $0.355, $0.332 and $0.320.

Major Resistance Levels – $0.370, $0.373 and $0.400.