Technicals Suggest Ripple (XRP) is Setting Up For Another Rally To $0.32

Ripple surged more than 30% this past week to climb above $0.3000 against the US Dollar. XRP price nosedived below $0.3250, but technicals suggest a fresh increase above $0.3150.

  • Ripple price surged above the $0.3000 and $0.3150 resistance levels against the US dollar.
  • The price dived more than 20%, but dips remained well supported above $0.2500.
  • There is a major bullish trend line forming with support near $0.2780 on the 4-hours chart of the XRP/USD pair (data source from Kraken).
  • The pair is likely setting up for the next rally above the $0.3000 resistance area.

Ripple Price Could Surge Above $0.30

This past week, there was a strong increase in ripple above $0.3000, following bitcoin and ethereum’s rally. The price even surged above the $0.3120 resistance and settled well above the 100 simple moving average (4-hours).

It traded to a new multi-week high at $0.3255 before it crashed more than 20%. There was a sharp decline below the $0.3000 support zone. The price even spiked below the $0.2800 support level, but dips remained well supported near the $0.2500 level.

There is also a major bullish trend line forming with support near $0.2780 on the 4-hours chart of the XRP/USD pair. A swing low was formed near the $0.2401 and recently the price started a fresh increase. There was a break above $0.2800, plus the 50% Fib retracement level of the recent crash from the $0.3255 high to $0.2400 low.

Ripple (XRP)

Ripple (XRP) price trades near $0.2000. Source: TradingView.com

The price is now testing the 61.8% Fib retracement level of the recent crash from the $0.3255 high to $0.2400 low. On the upside, there is a strong resistance near the $0.3000 level. A successful close above the $0.3000 barrier could open the doors for more gains.

The next major resistance is near the $0.3120 level, above which the price is likely to surge towards the $0.3200 and $0.3250 levels in the coming sessions.

Downsides Likely To Be Limited in XRP

If there is another downside correction, ripple is likely to find support near $0.2850. The trend line support near $0.2800 also holds the key, below which the bulls might struggle.

If there is a bearish close below the trend line support, the price could extend its decline towards the $0.2650 and $0.2600 support levels.

Technical Indicators

4-Hours MACD – The MACD for XRP/USD is about to gain strength in the bullish zone.

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

Major Support Levels – $0.2850, $0.2800 and $0.2650.

Major Resistance Levels – $0.3000, $0.3050 and $0.3120.

Technicals Suggest Ripple (XRP) is Setting Up For Another Rally To $0.32 Technicals Suggest Ripple (XRP) is Setting Up For Another Rally To $0.32 Reviewed by Eugene D on August 03, 2020 Rating: 5

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