XRP Gears Up for Potential Breakout: Can It Surpass Key Resistance Levels?
XRP is currently in a consolidation phase following recent gains, exhibiting positive signs that could lead to a significant price surge. The cryptocurrency's trajectory is closely watched as it attempts to break past crucial resistance points, hinting at a potential continuation of its upward momentum.
Price Action and Key Resistance
After forming a solid base above the $3.10 mark, XRP initiated a fresh upward trend, mirroring movements seen in Bitcoin and Ethereum. The price successfully accelerated past the $3.120 and $3.15 resistance levels. While bulls managed to push the price above the $3.250 resistance, strong bearish activity emerged near the $3.30 zone, leading to a high of $3.30 before a slight dip. Currently, XRP is trading above $3.220 and the 100-hourly Simple Moving Average. A bearish trend line with resistance at $3.288 has also formed on the hourly chart (Kraken data), indicating a critical hurdle. A decisive move above the $3.30 resistance could propel XRP towards the $3.350 level, with further upside targets at $3.380 or even $3.40 in the near term. The next major challenge for buyers lies at the $3.450 zone.
Downside Risks and Support Levels
However, should XRP fail to overcome the $3.30 resistance, a fresh decline could commence. Initial downside support is found near the $3.20 level. A more significant support zone is located around $3.150, which aligns with the 76.4% Fibonacci retracement level of the recent upward move from the $3.10 swing low to the $3.30 high. A breach and close below the $3.150 level could see the price extend its decline towards the $3.080 support. The next major area where buyers might step in is near the $3.020 zone.
Technical Indicators Outlook
From a technical perspective, the hourly Moving Average Convergence Divergence (MACD) for XRP/USD is showing bullish momentum, gaining pace within the bullish zone. Similarly, the Hourly Relative Strength Index (RSI) for XRP/USD is currently positioned above the 50 level, further supporting the potential for continued bullish sentiment. Traders should closely monitor the $3.30 and $3.350 resistance levels, alongside the $3.150 and $3.080 support levels, for clues on XRP's next major price move.
