Jakarta, Pintu News – After experiencing significant gains, the price of Ripple (XRP) is now facing several obstacles that may limit its upside potential in the short term. Initially, Ripple (XRP) managed to break resistance above $2.50, similar to Bitcoin (BTC) and Ethereum (ETH), but is now starting to show signs of weakness.
Ripple (XRP) started a new upswing after successfully holding above $2.50. The price managed to cross the resistance levels of $2.550 and $2.60. Market participants were able to push the price past $2.650, reaching a peak of $2.6972. However, not long after that, Ripple (XRP) started to experience a downward correction. The price dropped below the 23.6% Fibonacci retracement level of the last rise from $2,327 to $2,6972.
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Additionally, there was also a break below the bullish trend line with support at $2.6350 on the hourly chart of the Ripple (XRP)/USD pair. Currently, the price is trading below $2.60 and the 100-hour simple moving average. In case of a bounce back, the price may face resistance near $2,620.
The first major resistance is near $2.650, above which the price could try to rise to $2.6880. If it manages to cross this resistance, the price could head to $2.720 and possibly reach $2.7650. The next major resistance for buyers may be near $2.80.
If Ripple (XRP) fails to break the $2.650 resistance zone, there is a possibility that the price will drop again. Initial support on the downside is near $2.5650. The next major support is at $2.550. In case of a downward breakout and close below this level, the price may continue to drop towards $2.5120 or the 50% Fibonacci retracement level of the last rise from $2.327 to $2.6972. The next major support lies in the $2.450 zone, below which the price could continue to decline towards $2.40.
With the MACD indicator now showing acceleration in the bearish zone and the RSI being below the 50 level, the chances of a further decline seem greater. Investors and traders should be wary of this downside potential and consider setting their strategies with an eye on the support and resistance levels mentioned.
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