The XRP price fell to the USD 0.5550 level before the bulls appeared. The price is now consolidating and could target another rise above $0.580.
- The XRP price entered a consolidation phase after declining towards the $0.5550 zone.
- The price is now trading below $0.580 and the 100-hourly Simple Moving Average.
- A major bearish trendline is forming with resistance at $0.5720 on the hourly chart of the XRP/USD pair (Kraken data source).
- The pair could attempt a recovery wave if it breaks the $0.580 resistance zone.
XRP Price Begins Consolidation
The XRP price extended losses below the $0.580 level, like Bitcoin and Ethereum. The price even tested the $0.5550 zone. A low was formed at $0.5538 and the price recently started an upward correction.
There was a move above the USD 0.5580 and USD 0.5620 levels. The price peaked above the 50% Fib retracement level of the downward move from the $0.60 swing high to the $0.5538 low. However, the bears remained active and protected more upside above $0.5850.
The price is still trading below $0.580 and the 100-hourly Simple Moving Average. On the upside, the price could encounter resistance near the $0.5720 level. There is also a major bearish trendline forming with resistance at $0.5720 on the hourly chart of the XRP/USD pair.
The first major resistance is around the $0.5885 level. It is close to the 76.4% Fib retracement level of the downward move from the $0.60 swing high to the $0.5538 low.
The next major resistance could be at $0.60. A clear move above the USD 0.60 resistance could send the price towards the USD 0.6050 resistance. The next major resistance is near the $0.6160 level. Any further gains could send the price towards the near-term resistance at $0.6250 or even $0.6320.
Another drop?
If XRP fails to break the USD 0.5720 resistance zone, it could trigger a fresh decline. The initial downside support is near the $0.5640 level. The next major support is at USD 0.5550.
If there is a downside break and a close below the USD 0.5550 level, the price could continue falling towards USD 0.5320 in the near term. The next major support is at $0.5120.
Technical indicators
Hourly MACD – The MACD for XRP/USD is now losing pace in the bearish zone.
Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now below the 50 level.
Major support levels – $0.5640 and $0.5550.
Major resistance levels – $0.5720 and $0.5885.