Ripple price analysis: XRP/USD pulling back from a price overstretch as bullish momentum signals

XRP/USD opened the gate for declines after failing to break above $0.7000 level.

Ripple is trading closer to $0.6300 level; it risks more declines occurring.  

Ripple price is encountering selling pressure in a market where bulls remain battered by the sellers. The crypto did not manage to rise above $0.7000 during trading on Thursday. There was a downside wave that swept the price towards the current support level at $0.6100.

During the recent decent, XRP/USD moved below the 100 SMA, besides, it broke below the 23.6% Fibonacci retracement level of the last swing high at $0.7246 and $0.5324 low. Significantly, a break below $0.6500 support level which in turn paved the way for additional price declines.

The buyers were not able to hold ground at the 50% Fibonacci retracement level and XRP/USD found support at $0.6153 level. Currently, there is a bullish trend that is forming towards $0.6300, after a trend reversal occurred with the price bouncing back. In case the selling pressure returns, XRP/USD has to hold ground above $0.6100 otherwise, this will open the door for further declines. On the upside, the barrier in the path of recovery is the previous support at $0.6500.

BTC/USD hourly chart