XRP Price Approaches Breakout Zone, Indicating Potential Rally Ahead

XRP's price has initiated a recovery wave above the $2.150 level. Currently showing encouraging signs, a surge may occur if it successfully surpasses the $2.250 pivot level.

Key Takeaways

XRP price has started to recover, moving above the $2.120 mark.
Currently trading above $2.150 and surpassing the 100-hourly Simple Moving Average.
A contracting triangle with short-term resistance appears at $2.20 on the hourly XRP/USD chart.
Continued upward movement is possible if XRP maintains levels above $2.250.

XRP Price Builds Momentum

XRP Price Set for Potential Upside Break

XRP's price has remained resilient above the $2.00 threshold, beginning a recovery wave similar to trends seen with Bitcoin and Ethereum. It has climbed above $2.050 and $2.10, entering a positive trading zone.

A clear upward movement has surpassed the 61.8% Fibonacci retracement level of the dip from the $2.2750 swing high to the low of $1.9844. However, resistance is emerging near the $2.220 mark. An important feature on the hourly chart of the XRP/USD pair is a contracting triangle with resistance established at $2.20.

Currently, the price is trading above $2.150 and is currently above the 100-hourly Simple Moving Average. It appears to be consolidating near the 76.4% Fibonacci retracement level of the decline from $2.2750 to $1.9844.

XRP Price Chart
Source: XRPUSD on TradingView.com

If a fresh upward trend develops, the price may encounter resistance close to the $2.20 level, with the first major resistance situated around $2.220. A close above this point may push the price to $2.250. The subsequent hurdle would then be at $2.350. Should XRP clearly surpass the $2.350 resistance, it could head toward the $2.40 range. Further gains could propel the price to the $2.450 resistance, with the bulls facing an important milestone around $2.50.

Could a Downside Correction Occur?

If XRP does not manage to surpass the $2.250 resistance area, it may initiate a downward correction. The initial support level is located around $2.180, followed by significant support at $2.150.

Should the price break downward and close below the $2.150 mark, it may further decline towards the $2.10 range. Below that, the next major support zone lies around $2.050, which could lead to further decreases towards $2.00.

Technical Indicators

Hourly MACD: The MACD for XRP/USD is currently gaining momentum in the bullish territory.
Hourly RSI (Relative Strength Index): The RSI for XRP/USD is noted above the 50 mark.
Major Support Levels: $2.180 and $2.150.
Major Resistance Levels: $2.220 and $2.250.

This analysis suggests that XRP is at a crucial moment, capable of entering a bullish rally or undergoing a potential correction based on its next moves.