XRP Price Surge: Will Buyers Maintain the Momentum?

XRP has kicked off a recovery phase after hitting a low of $2.050. Currently, the price has climbed back above the $2.25 mark and is eyeing a break through the $2.420 resistance level.

• The XRP price initiated a recovery above the $2.20 threshold.
• It is presently trading above $2.250 and surpassing the 100-hourly Simple Moving Average.
• On the hourly chart for the XRP/USD pair (data sourced from Kraken), a bearish trend line was breached at the $2.240 resistance level.
• If it can clear the $2.420 barrier, the pair may continue its upward trajectory.

XRP Price Recovery in Motion

After experiencing losses below the $2.25 and $2.20 levels, XRP followed a similar trend to major cryptocurrencies like Bitcoin and Ethereum. The price even dipped below $2.150 and $2.120.

A low point was reached at $2.066, after which the price began to recover. It surged back above the $2.20 and $2.25 levels, even surpassing the 50% Fibonacci retracement of the recent downward trend from the swing high of $2.552 to the low of $2.066.

Moreover, the breach of a bearish trend line at the $2.240 mark was significant on the hourly chart of the XRP/USD pair. With the price now trading over $2.250 and above the 100-hourly Simple Moving Average, any fresh upward movements might encounter resistance around the $2.40 area.

The primary resistance level to watch is around $2.420, which coincides with the 76.4% Fibonacci retracement level from the downward move between the swing high of $2.552 and the low of $2.066. If XRP manages to break through this level, it could push the price towards $2.480. A decisive movement past $2.480 could propel XRP towards the next resistance at $2.550, with further gains potentially reaching $2.650. The next significant challenge for the bulls might emerge around the $2.720 region.

What If Another Decline Occurs?

Should XRP struggle to break through the $2.420 resistance zone, it might trigger a new decline. The first point of support to monitor on the downside is near the $2.280 level, with the next major support situated around $2.250.

A breakdown and closing below the $2.250 level could lead the price to continue its descent towards $2.20. If this level fails to hold, the next substantial support level lies around $2.120, below which the price may decline further towards $2.060.

Technical Indicators Analysis

Hourly MACD – The MACD indicator for XRP/USD is currently losing momentum in the bearish territory.

Hourly RSI (Relative Strength Index) – The RSI for XRP/USD has moved above the 50 mark, indicating a potential bullish trend.

Key Support Levels – $2.280 and $2.250.

Key Resistance Levels – $2.40 and $2.420.