Ripple (XRP) Rallies 20%, Why Dips Could Be Attractive

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The ripple remained stable above $ 0.5000 and rose above $ 0.6000 against the US dollar. The XRP price tested $ 0.6500 and should continue to rise in the short term.

  • Ripple started a fresh surge above the $ 0.5500 and $ 0.6000 resistance levels against the US dollar.
  • The price is now trading well above $ 0.5800 and the simple moving average of 100 (4 hours).
  • On the 4-hour chart of the XRP / USD pair (data source from Kraken) there was a break above a critical contraction triangle with resistance near USD 0.5480.
  • The pair is trading well above $ 0.6000 and should continue rising towards $ 0.6500 and $ 0.6800.

Ripple’s XRP price wins bullishly

Recently, there has been a sharp drop in Ripple’s XRP price below the USD 0.5000 support zone. The price even got below $ 0.4500 but there was a quick rebound from $ 0.4326.

It started a sharp surge above the USD 0.5000 resistance, outperforming Bitcoin and Ethereum. There was a significant break above the 76.4% fib retracement level of the retracement level of the downward move from the high of $ 0.5842 to the low of $ 0.4326.

There was also a break above a key contraction triangle with resistance near $ 0.5480 on the 4-hour chart for the XRP / USD pair. The pair rallied above the USD 0.6000 resistance and was above the 100 simple moving average (4 hours).

Source: XRPUSD on TradingView.com

It rose above the 1.236 Fib extension level of the downward move from the high of $ 0.5842 to the low of $ 0.4326. It has tested the $ 0.6450 resistance zone and is now trading well in a positive zone.

A sharp break above the $ 0.6450 and $ 0.6500 resistance levels could continue to pump the price towards the $ 0.6880 level. The next major resistance to the upside is near the $ 0.7200 level. Further gains could move the price towards $ 0.7500.

Dips Limited in XRP?

If the ripple does not stay higher than $ 0.6500, it can be corrected lower. Initial support on the downside is near the $ 0.5840 and $ 0.5800 levels.

The mainstay is now forming near the broken triangle and $ 0.5500. A downside break below the USD 0.5500 support zone could move the price towards the USD 0.5200 zone.

Technical indicators

4 Hour MACD – The MACD for XRP / USD is picking up pace in the bullish zone.

4-hour RSI (Relative Strength Index) – The RSI for XRP / USD is now well above the 50 level.

Major support levels – $ 0.5850, $ 0.5650, and $ 0.5500.

Main Resistance Levels – $ 0.6200, $ 0.6500, and $ 0.7000.