XRP Price Shows Some Weakness – Is a Deeper Pullback on the Cards?

XRP price started a downside correction below the $3.250 zone. The price is now consolidating and might dip further below the $3.050 zone.

• XRP price started a fresh pullback below the $3.250 zone.
• The price is now trading below $3.220 and the 100-hourly Simple Moving Average.
• There was a break below a key bullish trend line with support at $3.240 on the hourly chart of the XRP/USD pair (data source from Kraken).
• The pair could start another increase if it stays above the $3.080 zone.

XRP Price Dips Below Support

XRP price started a fresh decline from the $3.330 zone, like Bitcoin and Ethereum. The price declined below the $3.2850 and $3.250 support levels.

The price dipped below the 50% Fib retracement level of the upward move from the $3.004 swing low to the $3.330 high. Besides, there was a break below a key bullish trend line with support at $3.240 on the hourly chart of the XRP/USD pair.

The decline was such that the price traded below the $3.120 level. The price is now trading below $3.150 and the 100-hourly Simple Moving Average.

On the upside, the price might face resistance near the $3.1680 level. The first major resistance is near the $3.220 level. A clear move above the $3.220 resistance might send the price toward the $3.250 resistance. Any more gains might send the price toward the $3.330 resistance or even $3.350 in the near term. The next major hurdle for the bulls might be near the $3.40 zone.

Another Drop?

If XRP fails to clear the $3.250 resistance zone, it could start another decline. Initial support on the downside is near the $3.080 level or the 76.4% Fib retracement level of the upward move from the $3.004 swing low to the $3.330 high. The next major support is near the $3.050 level.

If there is a downside break and a close below the $3.050 level, the price might continue to decline toward the $3.020 support. The next major support sits near the $3.00 zone where the bulls might take a stand.

Technical Indicators

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

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

Major Support Levels – $3.080 and $3.00.

Major Resistance Levels – $3.1680 and $3.250.