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Ripple Price Analysis: Why XRP/USD bulls must defend $0.20 support at all costs?

  • Ripple retreats from recent highs at $0.225 but the buyers defend the key support at $0.20.
  • The ability to retest $0.23 resistance will depend on the magnitude of the bounce from the key support at $0.20.

Ripple is currently gaining traction after defending the crucial support at $0.20. The reversal from the recent high at $0.225 did not come by surprise. However, investors would rather see an upward momentum considering the downtrend experienced in the last quarter of 2019.

The existing trend is strongly bearish amid the shrinking volatility but Ripple is trading 0.51% higher on the day. The price sits above the 50 SMA on the 4-hour chart currently at $0.20. The longer-term 100 SMA at $0.1963 is in a position to offer additional support if declines break the support at $0.20.

Technically, the trend is likely to succumb to the jabs thrown by the bears. The MACD, for instance, is moving towards the mean line, although it is still holding ground in the positive region. The visible bearish cross signals the increasing grip of the sellers.

Therefore, the best move for the buyers is to increase entries in such a way that support at $0.20 is defended at all costs. At the same time, push for recovery above $0.21 and be careful not to lose the focus on $0.30.

XRP/USD 4-hour chart

Author

John Isige

John Isige

FXStreet

John Isige is a seasoned cryptocurrency journalist and markets analyst committed to delivering high-quality, actionable insights tailored to traders, investors, and crypto enthusiasts. He enjoys deep dives into emerging Web3 tren

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