Ripple (XRP) Rallies 10% and Poised To Test $0.20: Here’s Why

The ripple has increased by around 10% and has broken the key resistance zone of $ 0.1650 against the US dollar. The XRP price is still in a good uptrend and could continue to rise towards $ 0.2000.

  • The ripple price rose sharply above the USD 0.1640 and USD 0.1650 resistance levels against the US dollar.
  • The bulls pushed the price above $ 0.1750 and a high was formed near $ 0.1808.
  • On the hourly chart of the XRP / USD pair (Kraken data source), a short-term contracting triangle forms with a resistance close to USD 0.1780.
  • The price could correct some points in the short term, but the slumps remain supported near $ 0.1700.

The ripple price is rising

Yesterday we discussed the chances of a strong ripple above the $ 0.1640 and $ 0.1650 resistance levels. The XRP price has broken the USD 0.1650 resistance area to start a solid upward move.

It broke the $ 0.1720 resistance and was well above the simple 100-hour moving average. The uptrend picked up pace above the $ 0.1750 level and the price reached a new weekly high at $ 0.1808.

The price is currently correcting lower and trading below $ 0.1780. There was a break below the 23.6% fib retracement level of the upward move from the low of $ 0.1605 to the high of $ 0.1808.

It appears that a short-term contraction triangle is forming with a resistance close to $ 0.1780 an hour diagram of the XRP / USD pair. If there is an upward trend, the ripple price should continue to rise above the USD 0.1800 resistance area.

Ripple price

Ripple price

In the given case, the price should rise above the highs of $ 0.1808 and $ 0.1820. The next major resistance is near the $ 0.1880 level above which the bulls are likely to seek a barrier test of $ 0.2000 in the short term.

Downward correction?

If the ripple does not persist above the resistance levels of $ 0.1780 and $ 0.1800, this can lead to a downward correction. The first major support is near the $ 0.1705 range. It is close to the 50% fib retracement level of the upward move from the low of $ 0.1605 to the high of $ 0.1808.

The next major support is near the $ 0.1650 area (the most recent breakout resistance) where the bulls are likely to hold a strong position.

Technical indicators

Hourly MACD – The MACD for XRP / USD is now gaining momentum in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for XRP / USD is currently well above the 70 level and is in the overbought zone.

Major support levels – $ 0.1750, $ 0.1705 and $ 0.1650.

Major resistance levels – $ 0.1780, $ 0.1800 and $ 0.1850.

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