XRP Price Surges Above Resistance Level, Setting the Stage for a Potential Rally
XRP has experienced a fresh increase in price, surpassing the $0.550 resistance level. The cryptocurrency is now trading above $0.575 and the 100 simple moving average (4 hours), indicating a positive trend. This surge in price followed a break above a major contracting triangle with resistance at $0.560 on the 4-hour chart of the XRP/USD pair sourced from Kraken.
Key Points:
- XRP has started a fresh increase, breaking through the $0.550 resistance level.
- The cryptocurrency is currently trading above $0.575 and the 100 simple moving average (4 hours).
- A major contracting triangle was broken with resistance at $0.560 on the 4-hour chart of XRP/USD.
- If XRP can close above the $0.60 resistance zone, it may initiate a new rally.
In recent days, XRP has rebounded from the $0.530 zone, experiencing an upward recovery. It surpassed both the $0.545 and $0.550 resistance levels, although its gains were not as significant as those seen in Bitcoin and Ethereum.
The breakout above the major contracting triangle with resistance at $0.560 on the 4-hour chart of XRP/USD was a crucial development. As a result, XRP reached a high of $0.5971 before consolidating its gains. The cryptocurrency tested the 23.6% Fibonacci retracement level of its upward move from the swing low of $0.5290 to the high of $0.5971.
Currently, Ripple’s token price is trading above both $0.575 and the 100 simple moving average (4 hours), indicating a positive trend. The immediate resistance is near the $0.580 zone, followed by the key resistance level at $0.600. A successful close above this resistance zone could trigger a strong increase in price.
Potential for Further Upside:
- The first key resistance level lies at $0.600, which, if surpassed, may lead to a rise towards the $0.620 resistance.
- A close above the $0.620 resistance zone could spark a significant increase in XRP’s price.
- If the bulls maintain momentum above the $0.650 resistance level, a rally towards the $0.685 and even $0.70 resistances may occur.
However, if XRP fails to clear the $0.60 resistance zone, it could face another decline. In such a scenario, initial support on the downside would be near the $0.575 zone.
The next major support level is located at $0.5630 or the 50% Fibonacci retracement level of XRP’s upward move from the swing low of $0.5290 to the high of $0.5971. If the price breaks below and closes below this level, it may accelerate its downward movement and retest the support zone at $0.5350.
Technical Indicators:
- The MACD for XRP/USD on the 4-hour chart is currently losing pace in the bullish zone.
- The RSI (Relative Strength Index) for XRP/USD on the 4-hour chart is now above the 60 level, indicating positive momentum.
Summary:
XRP has witnessed a fresh increase in price, breaking through the $0.550 resistance level. Currently, it is trading above $0.575 and the 100 simple moving average (4 hours), suggesting a positive trend. A breakout above a major contracting triangle and resistance at $0.560 on the XRP/USD 4-hour chart has set the stage for a potential rally. However, if XRP fails to surpass the $0.60 resistance zone, it may experience another decline with initial support near $0.575.
🔥 Hot Take:
XRP’s recent surge above the $0.550 resistance level is a promising sign for the cryptocurrency. With continued positive momentum and potential resistance levels to overcome, XRP could be on track for a significant rally. However, it remains crucial to monitor its ability to close above the $0.60 resistance zone, as failure to do so could result in further downward movement. Traders and investors should keep an eye on key support and resistance levels to make informed decisions about their XRP holdings.
By
By
By