Key Takeaways:
- XRP price declined heavily and tested the key support at $0.412.
- A crucial bullish trend line is forming with support near $0.490 on the daily chart.
- The price could consolidate and then attempt a fresh increase above $0.550.
NEW DELHI (CoinChapter.com) — Ripple’s XRP holds crucial support at $0.450. The price might start a fresh increase unless the bulls defend $0.450 and $0.412.
XRP Price Hits Key Support
Bitcoin, Ethereum, XRP, and other altcoins in the past few days saw a major decline against the US Dollar. XRP price declined heavily below the $0.680 and $0.650 support levels.
The bears pushed the price below the $0.60 level and the 50-day simple moving average. The drop was such that the price spiked below the $0.450 support. However, the bulls were active above the $0.4120 support.
A low is formed near $0.4201, and the price is below the $0.450 pivot level. A crucial bullish trend line is forming with support near $0.490 on the daily chart.
XRP is now consolidating above the $0.50 level. On the upside, the price faces resistance near $0.545 or the 23.6% Fib retracement level of the downward move from the $0.9445 swing high to the $0.4201 low.
A clear move above the $0.550 zone could start a decent increase. The price may rise toward the $0.600 level in the stated case.
The first major resistance is near the 50-day simple moving average at $0.640. The next resistance sits near the 50% Fib retracement level of the downward move from the $0.9445 swing high to the $0.4201 low at $0.680. Any more gains might push the price toward the $0.745 resistance.
Another Decline?
If XRP’s price exceeds $0.550, it could start another decline. The first major support is near the trend line and $0.50. The next major support is near the $0.45 level.
The main breakdown support is near $0.412. A downside break below the $0.412 support might start a major decline. XRP may decline toward the $0.365 level in the stated case. Any more losses below $0.365 might send the price toward $0.320.
Overall, the XRP price holds major support at $0.450 and $0.412. However, the price must settle above $0.550 to start a steady increase. Conversely, the price could again challenge the main support at $0.412.
