- XRP/USD dropped below $0.3500 amid global crypto sell-off
- The recovery is going to be difficult due to lots of technical barriers.
Ripple's XRP reversed all the gains made during early Asian hours, pressured by a massive sell-off on the cryptocurrency market. The price developments are driven by sentiments and technical factors as there are no particular fundamental factors that might explain the sell-off.
XRP/USD is trading at $0.3466, down 6.5% since the beginning of Thursday. There is little in terms of support levels below the current price, which means that the coin may extend the decline if it fails to regain some ground within the nearest future. The bears may target at $0.3250 area, strengthened by 23.6% Fibo retracement monthly.
On the upside, the price will face stiff resistance, created by a cluster of technical levels. Above the current price, the initial support is located on the approach to $0.3500 with 38.2% Fibo retracement monthly and Pivot Point Weekly Support 3 spotted around that area. We need to clear this barrier to improve the short-term technical set up and get a chance to extend the recovery towards much more serious barrier at $0.3700. This psychological level is strengthened by a confluence of important technical indicators, including SMA100 and SMA200 (1-hour) and 61.8% Fibo retracement daily.
While the above-said level is a hard nut to crack for XRP bulls, a sustainable move higher will clear the way towards ultimate resistance at $0.04000, provided that we will manage to pass through an intermediate hurdle at $0.3750. It is created by SMA100 (4-hour), Bollinger Band daily Middle, 61.8% Fibo retracement weekly and 23.6% Fibo retracement daily.
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