Ripple price started a solid upward move and broke the $0.4200 resistance against the US dollar.The price rallied above the $0.4400 level and recently started a downside correction.There is a key bullish trend line forming with support near $0.4250 on the hourly chart of the XRP/USD pair (data source from Kraken).The pair is placed nicely in an uptrend and it could continue to rise above $0.4400 and $0.4500.
Ripple price is showing positive signs above $0.4200 against the US Dollar, similar to bitcoin. XRP is likely to extend gains and the bulls seem to be eyeing a break above $0.4500.
Ripple Price Analysis
After a successful close above $0.4000, ripple price started a strong uptrend against the US Dollar. The XRP/USD pair broke the key $0.4200 and $0.4250 resistance levels to move further into the bullish zone. The pair even settled above $0.4250 and the 100 hourly simple moving average. Finally, there was a break above the $0.4400 level and a swing high was formed at $0.4424.
Recently, there was a sharp downside correction below the $0.4400 and $0.4300 levels. There was even a spike below the $0.4200 level and a swing low was formed at $0.4174. The bulls protected further declines and the price recovered sharply above $0.4200 and $0.4250. It cleared the 50% Fib retracement level of the recent slide from the $0.4424 high to $0.4174 low.
The current price action is positive and it seems like the price could continue higher above $0.4300. An immediate resistance is near $0.4340, and the 61.8% Fib retracement level of the recent slide from the $0.4424 high to $0.4174 low. Moreover, the price could gain momentum once it clears the $0.4400 resistance area. The next key resistance for the bulls is near the $0.4500 level.
On the downside, there are many supports near the $0.4260 and $0.4250 levels. There is also a key bullish trend line forming with support near $0.4250 on the hourly chart of the XRP/USD pair. Therefore, if the price corrects lower, it could find a strong support near the $0.4250 zone. Only a close below $0.4250 might start a major downside correction. The next key supports are near $0.4150 and $0.4120.
Looking at the chart, ripple price is clearly gaining momentum above $0.4250 and $0.4300. As long as the price is above $0.4250, there are chances of more upsides above $0.4400 and $0.4500.
Hourly MACD – The MACD for XRP/USD is slowly moving in the bullish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now well above the 50 level, with a flat bias.
Major Support Levels – $0.4260, $0.4250 and $0.4150.
Major Resistance Levels – $0.4340, $0.4400 and $0.4500.