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HomeAltcoin NewsRipple Price Analysis: Risk of More Downsides Below $0.228

Ripple Price Analysis: Risk of More Downsides Below $0.228

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  • Ripple price started a strong decline from well above the $0.2750 level against the US dollar.
  • The price is currently trading well below the $0.2500 level and the 55 simple moving average (4-hours).
  • There is a crucial bearish trend line forming with resistance near $0.2390 on the 4-hours chart of the XRP/USD pair (data source from Bittrex).
  • The pair is likely to continue lower below $0.2280 as long as it is below $0.2450.

Ripple price is trading in a bearish zone below $0.2500 against the US Dollar. XRP price could continue to decline unless the bulls push it above $0.2450 and $0.2500.

Ripple Price Analysis

After forming a top near the $0.3050 level, ripple price started a strong decline against the US Dollar. The XRP/USD pair broke many supports near $0.2850 and $0.2750 to move into a bearish zone.

The decline gathered pace below the $0.2600 support and the 55 simple moving average (4-hours). The price even broke the $0.2500 support and traded to a new monthly low at $0.2283. It is currently consolidating losses above the $0.2280 support.

An initial resistance is near the $0.2440 level and the 23.6% Fib retracement level of the downward move from the $0.3034 high to $0.2283 low. There is also a crucial bearish trend line forming with resistance near $0.2390 on the 4-hours chart of the XRP/USD pair.

If there is an upside break above the trend line, the pair could recover towards the $0.2550 and $0.2570 resistance levels. The next major resistance is near the $0.2660 level or the 55 simple moving average (4-hours).

The 50% Fib retracement level of the downward move from the $0.3034 high to $0.2283 low is also near the $0.2660 level to act as a hurdle for the bulls. A successful break above the $0.2660 barrier is must to move back into a positive zone.

Conversely, the price might continue to move down below $0.2350. An initial support on the downside is near the $0.2300 level. The main support is now forming near the $0.2280 level, below which the price is likely to accelerate lower towards the $0.2200 level.

Ripple Price
Ripple Price

Looking at the chart, ripple price is clearly facing a couple of important hurdles near $0.2440 and $0.2550. Therefore, the price is likely to continue lower below $0.2280 as long as it is below $0.2450.

Technical indicators

4 hours MACD – The MACD for XRP/USD is still showing negative signs in the bearish zone.

4 hours RSI (Relative Strength Index) – The RSI for XRP/USD is currently below the 40 level.

Key Support Levels – $0.2300, $0.2280 and $0.2200.

Key Resistance Levels – $0.2440 and $0.2660.

Aayush Jindal
Aayush Jindal
Aayush has spent over seven years as a financial markets contributor and observer. He specializes in market strategies and technical analysis, comes with an IT background. He possess strong technical analytical skills and is well known for his entertaining and informative analysis of the currency and commodities markets. He is a software engineer by profession, loves blogging and observing financial markets.

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