Bullish pump culminates in fresh weekly declines

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  • Ripple price glued below $0.5 (supply zone) with a support at $0.45 (demand zone).
  • XRP/USD must overcome the hurdle at $0.50 in order to escape the bear range.

The third largest cryptocurrency in the industry is dancing with $0.465 following a 1% drop in price on Monday 5. The trading over the last weekend was incredibly fruitful as most assets in the market corrected higher. Ripple (XRP), for instance, made a nice swing from the support at $0.45 yesterday. The struggle at the 50SMA hindered the gains but a break above the resistance at $0.455 opened the gate for additional gains above the 23.6% Fib retracement level of the last swing high of $0.474 and a swing low of $0.4487.

XRP/USD was seen testing the another resistance level at $0.475. However, the buyers lost their mojo as the price started a correction. There has been a dip below the 38.2% Fib level and the downside anchored by the bullish trendline.

Several support areas are visible on the 1-hour XRP/USD chart. The initial support at $0.4625 will hold is the trendline support gives in. The 50SMA and the 100 SMA on the same chart will provide support as well.

The trend is bearish, for now. Besides, the MACD which has been moving higher inside the positive region has started heading south. Moreover, the RSI is deviating from the range marginally above the 50 mark and heading to the south. While the sellers are battling to increase their entries, the buyers must ensure that they defend that initial support to avoid the looming dips towards $0.45 (primary support).

XRP/USD 1-hour chart

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