October 1, 2020

Ripple (XRP) Signaling More Downsides Unless It Surpasses $0.19

Ripple XRP

Ripple is slowly moving lower and now trading well below $0.1920 against the US Dollar. XRP price remains at a risk of more losses unless it gains strength for a push above $0.1900.

  • Ripple is facing an increase in selling pressure below the $0.1920 resistance against the US dollar.
  • The price is currently trading below the $0.1900 support and the 100 hourly simple moving average.
  • There is a declining channel forming with resistance near $0.1890 on the hourly chart of the XRP/USD pair (data source from Kraken).
  • The pair could continue to move down towards the $0.1850 and $0.1820 support levels.

Ripple Price Could Extend its Decline

Ripple price started a fresh decrease after it failed to test the $0.2000 resistance. XRP traded as high as $0.1986 and recently declined below the $0.1950 support zone.

The bears gained traction and pushed the price below the $0.1900 support and the 100 hourly simple moving average. During the decline, there was a break below a major bullish trend line with support at $0.1910 on the hourly chart of the XRP/USD pair.

It traded as low as $0.1868 and it seems like there are chances of more losses. An initial resistance is near the $0.1890 level or the 23.6% Fib retracement level of the recent slide from the $0.1986 high to $0.1868 low.

Ripple price below $0.1900. Source: TradingView.com

There is also a declining channel forming with resistance near $0.1890 on the same chart. The first key resistance is near the $0.1900 zone and the 100 hourly simple moving average. The next major resistance is near the $0.1925 level or the 50% Fib retracement level of the recent slide from the $0.1986 high to $0.1868 low.

Clearly, ripple is facing a lot of hurdles on the upside near $0.1900 and $0.1925. A successful close above $0.1900 and then a follow up break above the $0.1925 level is needed for a strong upward move.

More Losses in XRP?

If ripple fails to recover above $0.1900 and the 100 hourly SMA, there are chances of more downsides. An initial support on the downside is near the $0.1850 level.

The main support is near the $0.1820 level, below which the bears are likely to aim a downside break below the $0.1800 support in the coming days.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is moving nicely in the bearish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now correcting higher from the 30 level.

Major Support Levels – $0.1850, $0.1820 and $0.1800.

Major Resistance Levels – $0.1900, $0.1925 and $0.1950.

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