The cryptocurrency XRP has recently been experiencing a volatile trend. XRP’s price failed to surpass the resistance point around $0.5570 and showed a new downward trend. Currently, XRP has fallen below $0.53 and has formed a new red candle. What levels should be expected for XRP from this stage?
XRP Price Drops Again
A downward trend line formed with resistance at $0.5320 was identified on the hourly chart of the XRP/USD pair. This indicates a further downward trend in the price. This downward trend in XRP’s price is also consistent with a general decline in the broader cryptocurrency market. Particularly, leading cryptocurrencies like Bitcoin and Ethereum are also observed to have similar declines.
The current situation of XRP’s price contains notable volatility and risk for short-term investors. A drop below the $0.5250 support level could strengthen the downward trend and lead the price to lower levels. Currently, the $0.5250 level could be a sign for short-term recovery.
XRP‘s near-term developments could be shaped by surpassing the immediate resistance level of $0.5310. However, for a more solid recovery, it will need to hold above the main resistance level of $0.5350. Otherwise, the price is likely to decline again.
What Levels to Watch in a Downward Scenario for XRP?
If the cryptocurrency XRP fails to surpass the $0.5350 resistance zone, it may continue to move downward. According to the current technical analysis, the first support level for the XRP/USD pair on the downside is at $0.5250. However, a more significant support point is seen at $0.5185.
If a break below this level occurs and prices close below this level, further downward momentum in XRP prices could be observed. In this scenario, prices may test the $0.5065 support level in the near term.
Looking at the technical indicators, the hourly MACD is gaining speed in the bearish zone for XRP/USD. Similarly, the hourly RSI (Relative Strength Index) indicator is also below the 50 level, indicating that selling pressure may continue.
Key support and resistance levels for XRP should also be considered. The main support levels are identified as $0.5250 and $0.5185, while the resistance levels are seen at $0.5350 and $0.5450.
