XRP Price Temporary Bounce: Recovery Might Not Last

[Bitcoin]

XRP Price Temporary Bounce: Recovery Might Not Last

XRP price extended losses and traded below the $0.50 zone. The price tested the $0.4700 zone and is currently attempting a short-term recovery wave.

• XRP is slowly moving higher from the $0.470 support.


• The price is now trading below $0.4850 and the 100-hourly Simple Moving Average.


• There was a break above a connecting bearish trend line with resistance at $0.480 on the hourly chart of the XRP/USD pair (data source from Kraken).


• The pair could recover, but the bears might be active near the $0.4880 resistance.

XRP Price Finds Support

XRP price failed to recover above the $0.4880 resistance like Ethereum and Bitcoin. The price extended losses below the $0.480 level. It even tested the $0.470 zone. A low was formed at $0.4701 and the price is now eyeing a short-term recovery wave.

There was a move above the $0.4750 level. The price climbed above the 23.6% Fib retracement level of the downward move from the $0.5053 swing high to the $0.4701 low.

Besides, there was a break above a connecting bearish trend line with resistance at $0.480 on the hourly chart of the XRP/USD pair. However, it is still trading below $0.4850 and the 100-hourly Simple Moving Average.

On the upside, the price is facing resistance near the $0.4850 level. The first key resistance is near $0.4880 or the 50% Fib retracement level of the downward move from the $0.5053 swing high to the $0.4701 low. The next major resistance is near the $0.4920 level.

A close above the $0.4920 resistance zone could send the price higher. The next key resistance is near $0.50. If there is a close above the $0.50 resistance level, there could be a steady increase toward the $0.5050 resistance. Any more gains might send the price toward the $0.5250 resistance.

More Losses?

If XRP fails to clear the $0.4850 resistance zone, it could continue to move down. Initial support on the downside is near the $0.4750 level.

The next major support is at $0.470. If there is a downside break and a close below the $0.470 level, the price might accelerate lower. In the stated case, the price could decline and retest the $0.4550 support in the near term.

Technical Indicators

Hourly MACD - The MACD for XRP/USD is now losing pace in the bearish zone.

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

Major Support Levels - $0.4750 and $0.4700.

Major Resistance Levels - $0.4850 and $0.4920.

Source: XRP Price Temporary Bounce: Recovery Might Not Last