Ripple formed a support base above USD 1.16 and is now moving up against the US dollar. XRP price could start a steep rise if it clears the key USD 1.50 resistance zone.
- Ripple is showing positive signs above the USD 1.20 and USD 1.30 resistance levels against the US dollar.
- The price is now trading well above USD 1.3500 and the simple 100 (4 hours) moving average.
- A large contracting triangle is forming with a resistance near USD 1.50 on the XRP / USD pair’s 4-hour chart (Kraken data source).
- The pair is likely to start another rally as it clears the USD 1,500 resistance zone.
Ripple’s XRP Price Eyes Fresh Rally
Last week, Ripple’s XRP started a downside correction well above USD 1.65. XRP extended its decline below the key USD 1.50 support, on par with bitcoin and ethereum.
It opened the doors for a nasty spike below the $ 1.20 support. However, the bulls were active above the USD 1.15 level. It has bottomed out at $ 1,162 and the price is now climbing. It broke the USD 1.25 and USD 1.30 resistance levels.
There was a break above the 23.6% Fib retracement level of the downward move from the $ 1.97 high to the $ 1,162 swing low. It is now trading well above USD 1.3500 and the simple 100 (4 hours) moving average. A large contracting triangle is also forming with a resistance near USD 1.50 on the XRP / USD pair’s 4-hour chart.
Source: XRPUSD on TradingView.com
The triangle resistance at $ 1.50 is key. The next hurdle could be $ 1.56. It is close to the 50% Fib retracement level of the downward move from the $ 1.97 high to the $ 1,162 swing low.
A successful break above triangle resistance and then $ 1.56 could set the pace for another rise. In this case, the price could even climb above the USD 1.65 and USD 1.70 levels.
Dips limited in XRP?
If ripple didn’t clear the USD 1.5000 or USD 1,560 resistance, it may correct further lower. Initial support on the downside is near the USD 1.3200 level and the 100 SMA.
The next big support is near the USD 1.28 level and the bottom trendline of the triangle. For even more losses, there may be a need to drop to the USD 1.15 support zone in the coming sessions.
4-Hours MACD – The MACD for XRP / USD is slowly gaining pace in the bullish zone.
4-Hour RSI (Relative Strength Index) – The RSI for XRP / USD is now above the 50 level.
Key Support Levels – USD 1.32, USD 1.28 and USD 1.15.
Major Resistance Levels – USD 1.50, USD 1.56 and USD 1.65.