The XRP price has hit a rough patch, failing to sustain an upward movement above $2.35 and subsequently experiencing a significant decline. Currently, it is down by over 5% and is displaying bearish signals below the $2.20 mark.
The XRP price initiated another downward trend, dropping below the $2.250 support level. As of now, it is trading below both $2.25 and the 100 – hourly Simple Moving Average. On the hourly chart of the XRP/USD pair (data sourced from Kraken), there has been a break below a crucial declining channel with support at $2.235.
XRP’s failure to breach the $2.35 resistance led to a fresh decline, paralleling the movements of Bitcoin and Ethereum. It made a sharp descent below the $2.30 and $2.50 support levels. The break below the key declining channel contributed to a more than 5% decline, with the price even testing the $2.120 zone. A low of $2.126 was reached, after which the price began to consolidate its losses.
The price managed to correct some of the losses, climbing above $2.15 and testing the 23.6% Fibonacci retracement level of the recent decline from the $2.348 swing high to the $2.126 low. However, it remains trading below $2.25 and the 100 – hourly Simple Moving Average.
On the upside, the XRP price is likely to face resistance near the $2.18 level. The first major resistance is around the $2.20 mark. The next resistance is at $2.24, which coincides with the 50% Fibonacci retracement level of the decline from the $2.348 swing high to the $2.126 low. A clear move above the $2.24 resistance could potentially send the price towards the $2.30 resistance. Further gains might propel it towards the $2.320 or even $2.350 resistance levels in the near term. The bulls’ next significant hurdle is at $2.450.
If XRP fails to clear the $2.24 resistance zone, it could be on the verge of another decline. The initial support on the downside is near the $2.12 level, followed by the $2.10 level. A decisive break and a close below the $2.10 level might cause the price to continue its downward slide towards the $2.050 support. The next major support is around the $2.00 zone.
In conclusion, the future direction of the XRP price remains uncertain. Traders and investors are closely monitoring these key levels to gauge whether the cryptocurrency will stage a recovery or succumb to further losses.
Related topics:
XRP Price: Bulls Battle Key Hurdles, But Decline Looms if Resistance Fails
XRP’s Bullish Momentum: On-Chain, Technical and Market Forces at Play
