Ripple price nosedived recently and traded below the $0.7900 level against the US Dollar. XRP/USD is currently correcting higher, but it may face sellers near $0.8800.
Key Talking Points
- Ripple price was under a lot of pressure and it tumbled below the $0.7900 level against the US Dollar before starting a recovery.
- The XRP/USD pair is currently attempting a break above a key bearish trend line with resistance at $0.0.8590 on the 2-hours chart (Data feed via Bitstamp).
- The pair may move further higher, but it could face sellers near a major hurdle at $0.8800.
Ripple Price Forecast
There was an increase in downside pressure on Ripple price after it broke the $0.9400 support against the US Dollar. The XRP/USD pair tumbled and broke the $0.8000 and $0.7900 support levels to set the pace for more declines.
It traded as low as $0.7851 and is currently trading well below the 100 simple moving average (2-hours). An upside correction is underway and the price has moved above the 23.6% Fib retracement level of the last downside move from the $0.9797 high to $0.7851 low.
Moreover, the XRP/USD pair is currently attempting a break above a key bearish trend line with resistance at $0.0.8590 on the 2-hours chart. If the pair succeeds in closing above the trend line at $0.8590, there could be more gains.
However, there is a monster resistance on the upside near the $0.8800 level. The stated $0.8800 level acted as a buy zone previously, and now it is likely to act as a barrier for buyers.
Moreover, the $0.8800 level is also close to the 50% Fib retracement level of the last downside move from the $0.9797 high to $0.7851 low.
Therefore, a break and close above $0.8800 won’t be easy. If buyers succeed, the pair will most likely move further higher and it could even break the $1.00 level.
On the downside, the $0.8400 level is a short-term support. Below $0.8400, the price may test the $0.7850 level.
Trade safe traders and do not overtrade!