XRP is currently battling to surpass the $0.5140 resistance level. For a new attempt at a price increase in the near term, it is crucial for the price to firmly hold above the $0.4550 support. However, the price is now trading below $0.50. On the 4-hour chart of the XRP/USD pair, a significant downtrend line is forming at the $0.5140 resistance level. Thus, if the pair closes below the $0.4550 support, the downward momentum could increase.
XRP Turns Red
After a steady rise, XRP price struggled to surpass the $0.6420 resistance. Influenced by leading cryptocurrencies like Bitcoin and Ethereum, there was a decline below the $0.600 support. This decline manifested itself with a sharp movement below the $0.500 level.
During the harsh drop over the weekend, the price fell to the $0.3880 area and recorded a low around $0.3875. However, after this low, a recovery wave began, and the price moved upwards again. Movements above the $0.40 and $0.450 levels were observed.
Critical Levels for Bulls
Currently, as the price is trading below $0.50, the $0.51 level has become a key resistance. Surpassing this level could make $0.54 the first target. A close above the $0.540 resistance area could lead to a strong rise. The next key resistance is around $0.600.
If bulls successfully move above the $0.600 resistance level, a rise towards the $0.6240 resistance can be expected. Further gains could push the price towards the $0.700 resistance.
Downward Wave Could Hurt XRP Investors
If XRP fails to surpass the $0.5440 resistance area, another downward trend could begin. Currently, the first support point downwards is around $0.480. However, a more significant drop could make the $0.4550 level crucial. If a break below this level occurs and prices close below it, XRP’s value loss could accelerate. In this scenario, prices could retest the $0.420 support area.
Looking at technical indicators, the 4-hour MACD indicator for the XRP/USD pair is slowing down in the bearish zone. Similarly, the 4-hour RSI (Relative Strength Index) is also below the 50 level, indicating that selling pressure could increase.
Key support levels for XRP are set at $0.480, $0.4550, and $0.420, while resistance levels are being monitored at $0.5140, $0.5440, and $0.600.
