The price of Ripple’s XRP has begun to rise from R8.52 against the US Dollar, according to recent market trends. If XRP breaks through the critical resistance zone of R9.28, the cryptocurrency might experience a bullish momentum.
Currently, Ripple’s XRP is escalating towards the R9.28 resistance against the US dollar. The token is now trading above R8.98 and the 100 simple moving average (4 hours). A pivotal bullish trend line is forming, with support close to R9.09 on the 4-hour chart of the XRP/USD pair (data sourced from Kraken). If XRP clears the R9.28 resistance in the short term, it is anticipated to continue its upward trajectory.
Notably, Ripple’s XRP embarked on a fresh upward trend in the past week. After experiencing a downside correction from the R9.84 resistance against the US Dollar, XRP price dipped below the R9.35 support zone, even spiking beneath the R8.68 support.
A low was established near R8.33, and the price is now rebounding, similar to the trends seen with Bitcoin and Ethereum. Ripple managed to surge above the R8.49 and R8.68 resistance levels. XRP also surpassed the 50% Fibonacci retracement level of the downward swing from the R9.84 high to the R8.33 low. Now, XRP is trading above R8.98 and the 100 simple moving average (4 hours). A key bullish trend line with support near R9.09 has also formed on the 4-hour chart of the XRP/USD pair.
The first resistance on the upside is close to the R9.28 zone, almost aligning with the 61.8% Fibonacci retracement level of the downward swing from the R9.84 high to the R8.33 low. The next significant resistance lies near the R9.43 level. A successful break above this R9.43 resistance level could propel the price towards the R9.81 resistance. Any additional gains might lead to a test of the R10.27 resistance.
Potential for a New Dip in XRP?
Should Ripple fail to break through the R9.28 resistance zone, it might initiate another dip. The initial support on the downside is close to the R9.09 zone and the trend line. The next significant support is near R8.88. If a downside break and a close below the R8.88 level occur, XRP’s price could potentially extend its losses. In such a scenario, the price might retest the R8.52 support zone.
As South African investors continue to monitor the cryptocurrency market closely, the performance of Ripple’s XRP could provide interesting investment opportunities. However, as always in the world of cryptocurrencies, due diligence and a keen eye on market trends are essential.
*All currencies in the article have been converted to the South African Rand