Crypto Gloom

Can XRP price actually bounce back after plummeting 25% in a week?

Key Takeaways:

  • XRP price started a new decline after testing the $0.740 resistance.
  • It is currently testing an important bullish trendline with support at $0.5780 on the daily chart.
  • If the price stays above the trendline and the 50-day simple moving average (blue), a big uptrend could begin.
XRP price surges
XRP price surges

New Delhi (CoinChapter.com) — XRP is consolidating gains below $0.700. The price is currently testing the important support at $0.5750 and may attempt a fresh hike.

XRP Price Trim Profit

After a steady rise, XRP price failed to break through the $0.7450 and $0.7500 resistance levels. A high was reached at $0.7424 and the price began a downward correction. There was movement below the $0.720 and $0.700 levels.

Over the past few sessions, Bitcoin, Ethereum, XRP, DOGE and other cryptocurrencies have been on a steady decline. The decline pushed XRP below the $0.650 support zone. It fell below the 50% Fib retracement level, rising from the $0.4857 swing low to the $0.7424 high.

The price is currently trading near the important support line of the 50-day simple moving average (blue). There is also a major bullish trendline supporting $0.5780 on the daily chart.

The trend line is close to the 61.8% Fib retracement level rising from the $0.4857 swing low to the $0.7424 high. Obviously, the confluence of the trend line and the 50-day simple moving average (blue) is key.

There could be more downside if the XRP bulls fail to protect the trendline support and the price falls below the 50-day simple moving average (blue). The next major support is near the $0.5465 level. Key support is currently forming near the $0.4850 level.

A decline and close below $0.4850 could trigger a bearish move for XRP. The next support level is $0.450, where bulls can take a stance. Any more losses could open the door for a move towards the $0.420 support level.

Fresh rally?

Conversely, XRP price may start a new rise due to trendline support. Immediate resistance is at $0.600. The first major resistance is near the $0.6150 level.

Main resistance is $0.6650. If the bulls push the price above this, there could be a strong upward move. Next stop might be $0.70. If more profits are made, the price may rise to $0.720 or $0.740.

Recently, Ripple won the 2024 FinTech Breakthrough Award in the categories of Best Cross-Border Payment Platform and Best DeFi Infrastructure Platform.

Overall, the price is trading near the important point of $0.5750. If the bulls remain active, XRP may start a new increase towards $0.665. On the other hand, there may be more downside to $0.4850 support.