XRP Price Dips Before Surging: Bulls Take Charge In A Dramatic Rebound

XRP price declined sharply and tested the $2.650 support zone. The price is now correcting gains and showing positive signs above $3.00.

• XRP price started a fresh decline below the $3.00 zone.
• The price is now trading below $3.120 and the 100-hourly Simple Moving Average.
• There was a break above a connecting bearish trend line with resistance at $2.950 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair might struggle to clear the $3.10 and $3.12 resistance levels.

XRP Price Dips Further Before Rebound

XRP price struggled to continue higher above the $3.050 resistance and reacted to the downside, like Bitcoin and Ethereum. The price dipped below the $3.00 and $2.80 support levels.

The pair even spiked below the $2.720 support. A low was formed at $2.6562 and the price is now correcting losses. There was a sharp increase above the $2.80 and $2.85 levels. The price cleared the 50% Fib retracement level of the downward move from the $3.207 swing high to the $2.6562 low.

There was a break above a connecting bearish trend line with resistance at $2.950 on the hourly chart of the XRP/USD pair. The price is now trading below $3.120 and the 100-hourly Simple Moving Average.

On the upside, the price might face resistance near the $3.10 level or the 76.4% Fib retracement level of the downward move from the $3.207 swing high to the $2.6562 low. The first major resistance is near the $3.120 level. The next resistance is $3.150.

A clear move above the $3.150 resistance might send the price toward the $3.20 resistance. Any more gains might send the price toward the $3.250 resistance or even $3.350 in the near term. The next major hurdle for the bulls might be $3.450.

Another Decline?

If XRP fails to clear the $3.10 resistance zone, it could start another decline. Initial support on the downside is near the $3.00 level. The next major support is near the $2.950 level.

If there is a downside break and a close below the $2.950 level, the price might continue to decline toward the $2.880 support. The next major support sits near the $2.750 zone.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is now gaining pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is now above the 50 level.

Major Support Levels – $3.00 and $2.950.

Major Resistance Levels – $3.100 and $3.120.

Source