Below $0.550 about the US dollar, Ripple’s token price is displaying bearish indicators. If the price of XRP trades below $0.500, another slide can begin.

About the US dollar, Ripple’s token price is battling to rise over $0.540 and $0.550.

The price is currently trading below $0.550 and the 4-hour 100 SMA.

On the 4-hour chart of the XRP/USD pair (data source from Kraken), there is a significant bearish trend line forming with resistance close to $0.540.

If the price breaks through $0.500, the pair may begin another drop.

Ripple’s Token Price Eyes Fresh Increase

Ripple’s XRP began a comeback wave against the US dollar after a steep drop to $0.40. Similar to Bitcoin and Ethereum, the price rose above the $0.48 and $0.50 barrier levels.

The $0.520 resistance was also broken by the price. The crucial drop from the $0.6655 swing high to the $0.3995 low was retraced by 50% of the price, and then there was a rise above that level. Near $0.550, the bulls now have a difficult challenge ahead of them.

See also  Ethereum Price Prediction: ETH Bears Are Back, Why ETH Could Dive Below $1K

The trend line and the $0.540 region serve as the first areas of resistance on the upward side. The area around $0.550, or the 61.8% Fib retracement level of the crucial decline from the $0.6655 swing high to the $0.3995 low, represents the next significant barrier. The price could move in the direction of the $0.60 resistance with a successful break over the $0.550 resistance level. If advances continue, the $0.625 resistance level may need to be tested.

Another Drop in XRP?

Ripple may begin another slide if it is unable to overcome the $0.550 resistance region. The $0.505 region provides initial support on the downside.

At $0.500, there is a significant support next. The price of XRP may continue to decline if there is a downward break and a closure below the $0.500 mark. In the aforementioned scenario, the price may revisit the $0.435 support region.

Share.

Leave a Reply