Key Highlights
Ripple price failed to rise further and started a downside move from the $0.7246 high against the US dollar.
There is a major bearish trend line forming with resistance near $0.6850 on the hourly chart of the XRP/USD pair (data source from Kraken).
The pair is currently trading just above the $0.6100 support and it remains at a risk of more losses.
Ripple price is under short-term pressure against the US Dollar and Bitcoin. XRP/USD must stay above the $0.6100 support to avoid further declines in the near term.
Ripple Price Decline
After trading above the $0.7000 level, Ripple price failed to hold gains against the US Dollar. The price started a downside move and traded below the $0.7000 level and the 100 hourly simple moving average. It also broke the 23.6% Fib retracement level of the last upside wave from the $0.5324 low to $0.7246 high. More importantly, there was a break below the $0.6500, which has opened the doors for more declines.
The downside move was such that the price even broke the $0.6400 support. More importantly, there was a break below the 50% Fib retracement level of the last upside wave from the $0.5324 low to $0.7246 high. At the moment, the price is testing a major support at $0.6100. It must hold the stated $0.6100 support, else there is a risk of more declines in the near term. On the upside, the broken $0.6400 support may act as a resistance.
Above $0.6400, the next hurdle is at $0.6500, followed by a major bearish trend line forming with resistance near $0.6850 on the hourly chart of the XRP/USD pair. Moreover, the 100 hourly SMA is at $0.6700 to act as a resistance for an upside move.
Looking at the technical indicators:
Hourly MACD – The MACD for XRP/USD is moving slowly in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is currently well below the 50 level.
Major Support Level – $0.6100
Major Resistance Level – $0.6500
Charts courtesy – Trading View
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