XRP price gained bullish momentum and rallied above $2.80. The price tested the $3.00 resistance zone and is currently consolidating gains.
XRP Price Regains Bullish Momentum
In the last technical analysis, we discussed the chances of more gains in XRP. The bulls remained in action above the $2.50 support zone. The price started a fresh increase above the $2.65 and $2.80 resistance levels, like Bitcoin.
The price gained pace for a move above the 76.4% Fib retracement level of the downward move from the $2.65 swing high to the $1.912 low. Finally, there was a test of the $3.00 resistance zone.
XRP price is now consolidating above the 1.236 Fib extension level of the downward move from the $2.65 swing high to the $1.912 low. The current price action suggests that the price could soon restart its increase since the 50-day simple moving average (blue) is slowly moving upward.
Immediate resistance on the upside is near the $2.950 level. The first major resistance is near the $3.00 level. A close above the $3.00 level could open the doors for another surge.
In the stated case, the price could rise toward the $3.10 level. It is close to the 1.618 Fib extension level of the downward move from the $2.65 swing high to the $1.912 low. The next resistance is near the $3.180 level, above which the price could accelerate higher toward the $3.20 resistance. Any more gains might open the doors for a move toward the $3.2650 zone.
Are Pullbacks Limited?
Conversely, XRP price might fail to clear the $3.00 resistance and start a downside correction. Immediate support is near the $2.80 level. The first major support sits near the $2.650 level. There is also a key bullish trend line forming with support at $2.650 on the daily chart.
A daily close below the $2.65 support could spark a larger pullback. The next major support is near the $2.50 level. If there is a clear move below the $2.50 support, the price could slide toward the $2.30 support zone and the 50-day simple moving average (blue).
If the bulls fail to protect the $2.30 level and the 50-day simple moving average (blue), the price could even decline below the $2.220 zone in the medium term. The main support could be $2.020, below which the price could drop to $1.920.
Overall, XRP price is consolidating above the $2.80 support zone. To start a fresh surge, the price must settle above $2.950 and $3.00. If not, there could be a pullback toward the $2.650 support zone.
