XRP Price Prepares for Possible Bounce — Support Levels In Focus

XRP price started a decent upward move from the $2.20 zone. The price is now correcting some gains and might find bids near the $2.220 zone.

• XRP price started a fresh increase above the $2.220 zone.
• The price is now trading above $2.220 and the 100-hourly Simple Moving Average.
• There is a key bullish trend line forming with support at $2.2250 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair could start another decline if it fails to stay above the $2.220 zone.

XRP Price Faces Resistance

XRP price started a fresh increase after it settled above the $2.20 level, like Bitcoin and Ethereum. The price was able to climb above the $2.220 resistance level.

The bulls were able to push the price above the $2.250 level. However, the bears were active near the $2.320 level. A high was formed at $2.310 and the price is now correcting some gains. There was a move below the 23.6% Fib retracement level of the upward move from the $2.148 swing low to the $2.310 high.

The price is now trading above $2.220 and the 100-hourly Simple Moving Average. Besides, there is a key bullish trend line forming with support at $2.2250 on the hourly chart of the XRP/USD pair.

On the upside, the price might face resistance near the $2.2720 level. The first major resistance is near the $2.30 level. The next resistance is $2.320. A clear move above the $2.320 resistance might send the price toward the $2.350 resistance. Any more gains might send the price toward the $2.40 resistance or even $2.420 in the near term. The next major hurdle for the bulls might be $2.50.

More Losses?

If XRP fails to clear the $2.30 resistance zone, it could start another decline. Initial support on the downside is near the $2.2250 level and the trend line. The next major support is near the $2.20 level or the 61.8% Fib retracement level of the upward move from the $2.148 swing low to the $2.310 high.

If there is a downside break and a close below the $2.20 level, the price might continue to decline toward the $2.150 support. The next major support sits near the $2.120 zone.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is now gaining pace in the bearish zone.

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

Major Support Levels – $2.2250 and $2.20.

Major Resistance Levels – $2.30 and $2.320.

Source