Ripple (XRP) is Showing Early Signs of Fresh Rally, But $0.18 is the Key

Ripple is consolidating above the $0.1720 support zone against the US Dollar. XRP price seems to be preparing for a fresh rally, but it must surpass $0.1800 for a sustained upward move.

Ripple Price Could Rally Above $0.1800

After a downward spike below the $0.1700 level, ripple found support above $0.1680. XRP price started an upside correction and recovered above the $0.1720 resistance level.

The bulls were able to push the price above the $0.1780 resistance, but they struggled to clear the $0.1800 level and the 100 hourly simple moving average. A swing high was formed near $0.1798 before the pair started correcting lower.

It traded below the $0.1760 level, plus the 23.6% Fib retracement level of the upward move from the $0.1689 low to $0.1798 high. It is currently holding the $0.1720 support level and showing positive signs.

The 50% Fib retracement level of the upward move from the $0.1689 low to $0.1798 high is also a strong support at $0.1745. On the upside, the price is likely to face hurdles near $0.1780, $0.1800, and the 100 hourly SMA.

Ripple price below $0.1800. Source: 

There is also a major bearish trend line forming with resistance near $0.1760 on the hourly chart of the XRP/USD pair. If the bulls clear the trend line resistance, the price could continue to rise towards the $0.1800 resistance.

A successful daily close above the $0.1800 level and the 100 hourly simple moving average could spark a fresh rally in the coming sessions.

More Losses in XRP?

If ripple price struggles to clear the $0.1780 and $0.1800 resistance levels, there is a risk of another decline. An initial support is near the $0.1740 level.

The main support is near the $0.1720 level, below which the price is likely to accelerate lower towards the $0.1680 and $0.1650 levels in the near term.

Technical Indicators

Hourly MACD – The MACD for XRP/USD is slowly moving back into the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD is rising and it is approaching the 50 level.

Major Support Levels – $0.1740, $0.1720 and $0.1680.

Major Resistance Levels – $0.1780, $0.1800 and $0.1880.

Risk disclaimer: 76.4% of retail CFD accounts lose money.

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