- Ripple price started a strong increase after forming a base above $0.2500 against the US dollar.
- The price is now trading well above the $0.5000 resistance and the 55 simple moving average (4-hours).
- There was a break above a major contracting triangle with resistance near $0.5050 on the 4-hours chart of the XRP/USD pair (data source from Bittrex).
- The pair traded as high as $0.5806 and it is likely to continue higher.
Ripple price is trading in a positive zone above $0.5000 against the US Dollar. XRP price could correct lower, but dips are likely to find support near $0.5200 or $0.5000.
Ripple Price Analysis
There was also a break above a key bearish trend line forming with resistance near $0.2810 on the 4-hours chart of the XRP/USD pair. It opened the doors for a fresh surge above $0.3500 and the 55 simple moving average (4-hours).
The price rallied over 50% and it broke many important resistance levels. There was also a break above the $0.4500 and $0.5000 barriers. Recently, there was a break above a major contracting triangle with resistance near $0.5050 on the same chart.
The pair traded as high as $0.5806 and it is currently showing many bullish signs. An initial support is near the $0.5450 level. It is close to the 23.6% Fib retracement level of the recent surge from the $0.4262 swing low to $0.5809 high.
The next major support is near the broken triangle at $0.5100. The 50% Fib retracement level of the recent surge from the $0.4262 swing low to $0.5809 high is also near the $0.5025 level. Any more losses could lead the price towards the $0.4500 support zone.
Conversely, the price is likely to continue higher above $0.5800. The first major resistance is near the $0.6000 level, where the bulls might struggle. A close above $0.6000 could open the doors for a larger increase may be towards $0.7200.
Looking at the chart, ripple price is clearly trading well above the $0.5000 resistance and the 55 simple moving average (4-hours). Overall, the price could accelerate further higher once it clears the $0.5800 and $0.6000 resistance levels.
4 hours MACD – The MACD for XRP/USD is currently gaining momentum in the bullish zone.
4 hours RSI (Relative Strength Index) – The RSI for XRP/USD is now in the overbought zone.
Key Support Levels – $0.5450, $0.5100 and $0.5000.
Key Resistance Levels – $0.5800 and $0.6000.