XRP Price Faces Downward Pressure as Seller Dominance Emerges

XRP has experienced a notable rise above $1.920, but is now undergoing a correction and may have difficulty maintaining a positive trend.

Key Takeaways

XRP has entered a correction phase after peaking at $1.950.
The price is now beneath $1.90 and the 100-hourly Simple Moving Average.
A descending channel or potential bullish flag is forming, with resistance set at $1.9250 on the XRP/USD hourly chart.
To initiate a new upward movement, XRP must surpass the $1.950 mark.

XRP Price Trims Upside

XRP Price Struggles at Resistance Levels

XRP began a downward correction from the $1.950 level, similarly to Bitcoin and Ethereum. It has dropped below the $1.920 and $1.90 marks, entering a consolidation phase. The price has retraced below the 23.6% Fibonacci retracement level from the recent rise that ranged from a low of $1.770 to a high of $1.9578.

Currently, a declining channel or a potential bullish flag is taking shape, presenting resistance at $1.9250 on the hourly chart of the XRP/USD pair.

XRP Price Source: XRPUSD on TradingView.com

At present, XRP is trading below $1.90 and the 100-hourly Simple Moving Average. Any upward movement may encounter resistance near the $1.90 level, with the primary resistance situated around $1.920. If XRP can surpass this, it may rise to test the $1.950 level. A decisive breakout above $1.950 could propel the price toward the $2.00 resistance, with subsequent increases pushing it toward $2.050. The next significant challenge for buyers could be near the $2.120 level.

Potential for Further Declines?

Should XRP fail to overcome the $1.920 resistance area, it may initiate a fresh decline. The initial support on this downside is approximately at the $1.8650 level and aligns with the 50% Fibonacci retracement of the upward movement from $1.770 to $1.9578. The next major support level lies around $1.8420.

If the price breaks below the $1.8420 mark and closes there, it may continue to decrease toward $1.8150. Additional declines could lead to a range near $1.770, below which the price could head further down toward $1.720.

Technical Indicators

Hourly MACD: The MACD for XRP/USD is beginning to show increased bearish momentum.
Hourly RSI (Relative Strength Index): The RSI for XRP/USD is currently under the 50 mark.
Major Support Levels: $1.8650 and $1.8420.
Major Resistance Levels: $1.920 and $1.950.

In summary, while XRP is navigating through a correction, breaking past crucial resistance levels will be essential for any potential upward rally.