Ripple (XRP) Just Saw A Key Technical Breakout: Relief Rally Underway

Ripple started a steady recovery wave, following bitcoin’s upward move and ethereum’s rally against the US Dollar. XRP price is likely to revisit $0.2575 or $0.2620 in the near term.

  • Ripple is up 4% and it is trading above the $0.2350 and $0.2440 resistance levels against the US dollar.
  • The price is showing positive signs above the $0.2450 level and the 100 hourly simple moving average.
  • There was a break above a key bearish trend line with resistance near $0.2360 on the hourly chart of the XRP/USD pair (data source from Kraken).
  • The pair could correct a few points, but it is likely to continue higher towards $0.2575.

Ripple Price Recovers 4%

The recent rise in Ethereum and bitcoin pushed ripple higher above the $0.2350 resistance. It seems like XRP price formed a decent support base above $0.2300 before starting the current recovery wave.

There was a break above the $0.2380 resistance and the price even climbed above $0.2400. The upward move was initiated after there was a break above a key bearish trend line with resistance near $0.2360 on the hourly chart of the XRP/USD pair.

The pair is showing positive signs above the $0.2450 level and the 100 hourly simple moving average. An initial resistance is near the $0.2480 level or the 50% Fib retracement level of the downward move from the $0.2659 high to $0.2300 low.

Ripple price trades above $0.2440. Source: TradingView.com

The first major resistance is near the $0.2520 level. It is close to the 61.8% Fib retracement level of the downward move from the $0.2659 high to $0.2300 low. The main hurdle on the upside is near the $0.2575 level, above which the price might accelerate higher towards the $0.2620 level.

Any further gains could initiate a steady rise towards the $0.2680 and $0.2720 levels in the coming sessions.

Dips Supported in XRP?

If ripple fails to continue higher above $0.2520, there could be a downside correction. An initial support is near the $0.2440 level (resistance turned support).

A downside break below the $0.2440 support may perhaps push the price towards the $0.2380 support or the 100 hourly SMA. Any further losses could lead the price back towards the $0.2300 breakdown support.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is slowly gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is rising and it is well above the 60 level.

Major Support Levels – $0.2440, $0.2380 and $0.2300.

Major Resistance Levels – $0.2480, $0.2520 and $0.2575.