XRP Battles for Upswing as Key Resistance Zones Loom
Ripple's native cryptocurrency, XRP, has recently faced a challenging period, extending losses and trading below the $2.120 mark. However, the digital asset is now attempting to initiate a fresh ascent, with market watchers keenly observing critical resistance levels that could dictate its immediate trajectory.
XRP Attempts a Resurgent Climb Amidst Headwinds
Following a dip below the $2.20 zone, XRP's price action mirrored that of major cryptocurrencies like Bitcoin and Ethereum, entering a short-term bearish phase. It even touched a low of $2.063 before showing signs of recovery, breaking above a bearish trend line resistance at $2.10 on the hourly chart against the USD. This rebound tested the 23.6% Fibonacci retracement level of a previous downward move from its $2.416 swing high.
Navigating Key Resistance
For XRP to sustain an upward momentum, it must overcome initial resistance near the $2.1680 level, with a more significant hurdle at $2.20. A decisive close above $2.20 could pave the way for a rally towards $2.240, or even the 50% Fib retracement level. Further gains would face obstacles at $2.280, potentially pushing the price towards $2.320 and eventually challenging the major bullish target of $2.40.
The Specter of Further Decline
Despite recovery attempts, a failure to breach the $2.20 resistance zone could trigger a renewed decline for XRP. Initial downside support is identified near $2.080, followed by a crucial support level at $2.050.
Critical Support Levels to Watch
A sustained break and close below the $2.050 mark could send XRP spiraling towards the $2.00 psychological level. Beyond this, the next major support for the cryptocurrency sits around $1.9650, with a risk of further depreciation towards $1.880 if this level gives way. Technical indicators, such as the Hourly MACD losing pace in the bearish zone and the Hourly RSI positioned below the 50 level, underscore the delicate balance of the market, with bears currently maintaining a slight edge.
