Ripple rallied in the past few hours above the $0.4100 resistance area. XRP to USD is currently correcting lower, but dips are likely present a golden buying opportunity near $0.4100.
Key Takeaways: XRP/USD
- Ripple price surged higher and traded above the $0.4100 and $0.4380 resistances against the US Dollar.
- XRP/USD surpassed the main $0.3800 pivot area and a major bearish trend line on the 2-hours chart (data feed from Bitstamp).
- Bitcoin price is also correcting below $7,800 and Ethereum price is testing the $265.00 support.
Ripple Price Analysis
Earlier this week, bitcoin price gained traction above the $8,500 resistance, sparking gains in ripple price from the $0.3725 swing low. XRP started a strong upward move and broke many hurdles such as $0.3800 and $0.4000.
Looking at the 2-hours chart, ripple price surpassed the main $0.3800 pivot area and a major bearish trend line. There was even a close above the $0.4000 barrier and the 50 simple moving average (2-hours, purple).
The upward move was strong considering the price surpassed the $0.4380 and $0.4400 levels. A new monthly high was formed at $0.4459 and the price is currently correcting lower. It broke the $0.4280 support plus the 23.6% Fib retracement level of the recent wave from $0.3752 to $0.4459.
However, there are many important supports on the downside near the $0.4150 and $0.4100 levels. The main support is $0.4100 since it coincides with the 50% Fib retracement level of the recent wave from $0.3752 to $0.4459.
If there is an extended correction, the next stop for the bulls could be near the $0.4010 level and the 50 simple moving average (2-hours, purple). Besides, the 61.8% Fib retracement level of the recent wave from $0.3752 to $0.4459 is also near the $0.4022 level.
Overall, ripple price is trading nicely in an uptrend above the key $0.4100 and $0.4000 support levels. In the short term, XRP could correct a few points, but dips are likely to be considered a buy opportunity unless there is a daily close below the $0.4000 support.
On the upside, the bulls are likely to target $0.4400, $0.4500 and $0.4750 in the coming days.