XRP is currently trading below $2.40, down by over two percent. To maintain its upward trend, it must stay above critical support levels, particularly the $2.29 mark.
Current State of XRP
Currently, XRP is witnessing a decline and is trading below $2.40. This level is significant for maintaining an upward momentum. Like many altcoins, XRP often follows Bitcoin's price action, so a short-term rebound in BTC might impact XRP.
Possible Pullback or Slowdown
Although bearish divergence may indicate a pullback, it does not always result in a significant drop. Sometimes, it leads to only a minor slowdown, as seen with the current resistance around the $2.50 mark. With XRP nearing crucial resistance points, it may not be the ideal time to open new long positions, whereas taking profits from existing ones could be prudent.
Support and Resistance Levels
The price is encountering resistance at $2.70 and $2.63. Additional resistance is indicated at $2.58 and $2.53, confirmed by the 3-10 day moving average crossover and raw stochastic levels at 80% and 70%. The 18-day moving average was crossed at $2.41, corroborating the 38.2% retracement from the 4-week high at the same level. Further support levels are observed at $2.40 and $2.35, with a 50% retracement from the 4-week high/low at $2.31. Lower support levels appear at $2.27 and $2.19, where the price crosses the 9-day moving average. Deeper support is found at $2.20 and $2.11, with raw stochastic levels showing oversold conditions at 20%.
To preserve its upward momentum, XRP must pierce or hold above its key support levels, with the current volatility necessitating a cautious trading approach.
