TLDR
- XRP shows recovery momentum after testing $2.280 support, with price action above $2.40 and the 100-hourly SMA
- A bearish trend line was broken with resistance at $2.450 on the XRP/USD hourly chart
- Key resistance levels are established at $2.50 and $2.60, with potential targets at $2.720 and $2.780
- Support levels are identified at $2.380 and $2.280, with critical support at $2.050
- Technical indicators show mixed signals with MACD losing bearish momentum and RSI above 50
XRP has shown renewed strength in recent trading sessions, breaking above the $2.40 price level and the 100-hourly Simple Moving Average. The digital asset began its recovery movement from the $2.280 support zone, mirroring similar patterns seen in other major cryptocurrencies like Bitcoin and Ethereum.
The price action started gaining momentum after forming a base near the $2.280 level, with buyers stepping in to push the price above initial resistance levels at $2.32 and $2.35. This movement marks a notable shift in market sentiment following recent price corrections.
Technical analysis reveals that XRP successfully broke above the 23.6% Fibonacci retracement level, calculated from the downward movement that began at the $2.7849 swing high and extended to the $2.2794 low. This breakthrough suggests increasing buying pressure in the market.
A key development in the recent price action was the breakout above a bearish trend line, which had established resistance at $2.450 on the hourly chart of the XRP/USD pair. The breach of this technical barrier indicates that sellers may be losing their grip on the market.
The current price positioning above the 100-hourly Simple Moving Average serves as a positive technical indicator, suggesting that the short-term trend might be shifting in favor of buyers. This moving average often acts as a dynamic support level during recovery phases.
Looking at immediate resistance levels, the $2.50 price point emerges as the first major hurdle for XRP. This level coincides with increased selling pressure and may require substantial buying volume to overcome.
The $2.5320 level represents another crucial resistance point, aligning with the 50% Fibonacci retracement level of the recent downward movement. A successful breach of this level could open the path toward higher price targets.
The $2.60 resistance level stands as a key technical barrier that could determine the strength of the current recovery attempt. A clear break above this level might trigger additional buying interest and potentially push the price toward the $2.720 mark.
Further resistance levels are identified at $2.780 and $2.80, which could come into play if the buying momentum continues to build. The $2.880 level represents a major hurdle that bulls would need to overcome for a more sustained upward movement.
On the support side, the price structure shows several key levels that could provide a foundation for continued recovery. The $2.380 region, near the 100-hourly Simple Moving Average, serves as the first line of defense against potential selling pressure.
The $2.280 support level remains crucial for maintaining the current recovery phase. A break below this point could trigger a deeper correction, potentially leading to a test of lower support levels.
In case of a downside break, the next support zones are positioned at $2.140 and $2.050. These levels could act as potential bouncing points if selling pressure increases in the near term.
Technical indicators provide additional insight into the current market structure. The MACD indicator is showing decreasing bearish momentum, although it remains in the bearish zone. This suggests that selling pressure might be easing.
The Relative Strength Index (RSI) for XRP/USD has moved above the 50 level, indicating a shift in momentum toward the bullish side. The RSI often serves as a reliable indicator of short-term price momentum.
Current price data shows XRP trading above the $2.40 level, maintaining its position above key moving averages. Trading volume has shown moderate increases during the recent recovery attempt, though sustained volume growth would be needed to support further upward movement.
