Crypto Gloom

XRP price surges 25% following court ruling, but key resistance level falls…

Main Content:

  • XRP price started a major rally above the $0.550 resistance zone.
  • On the daily chart, it is facing a major downtrend line with resistance at $0.620.
  • For the price to continue to rise, it needs to settle above $0.620 and $0.660.
XRP Analysis
XRP Analysis

NEW DELHI (CoinChapter.com) — XRP recently started a fresh surge above $0.550 following a New York federal judge’s ruling, but bears are still defending $0.620.

XRP price outperformed Bitcoin and Ethereum.

In a landmark case, a federal judge ordered Ripple Labs to pay a civil penalty of $125 million, far less than the $2 billion the SEC had sought. This was seen as a victory, and Brad Garlinghouse tweeted about it shortly after the ruling.

XRP price gained momentum above the $0.520 and $0.550 resistance levels, outperforming Bitcoin and Ethereum. It closed above the $0.60 level and the 50-day simple moving average (blue). However, the price hit major hurdles at $0.620 and $0.660.

XRP Price Daily Chart | Source: TradingView.com
XRP Price Daily Chart | Source: TradingView.com

The bears seem to be active near the $0.620 area. The major bear trend line with resistance at $0.620 on the daily chart is acting as a decisive obstacle for further upside.

To sustain higher levels, XRP needs to break the trendline resistance at $0.620. The next major barriers are near the $0.6550 and $0.660 levels. A convincing move and a close above the $0.660 resistance zone could set the tone for further upside.

The first major resistance above $0.60 is near the $0.700 level. If the bulls push the price above this level, another steady rise towards the $0.740 level is possible.

The next major resistance is near the $0.7550 level, above which the price can move higher. If mentioned, the price can rise and test the $0.780 resistance. Further upside could open the door for a test of $0.80.

Have you been rejected again?

Conversely, XRP price may not settle above the trendline resistance or $0.660. If so, there may be a bearish correction. Immediate support is near the $0.5940 level and the 23.6% Fibonacci correction level of the recent surge from the $0.4332 swing low to the $0.6425 high.

The next major support level is seen near the $0.550 level, below which the price could revisit the 50-day SMA at $0.530, which is close to the 50% Fibonacci retracement level of the recent surge from the $0.4332 swing low to the $0.6425 high.

A downward break below the $0.530 support level could set the pace for a new downtrend. In that case, the price could drop to the $0.480 level or even $0.4320.

Overall, XRP price is targeting a further rise above $0.620. If the bullish momentum continues, there is a possibility of a move above $0.620 and $0.660 levels in the coming sessions.