Ripple Technical Analysis: XRP/USD gears up for another rally, $0.25 is the bullseye

Ripple took a breather after the extended breakout above $0.20 this week when it brushed shoulders with $0.2370 (weekly high). An immediate reversal forced the price under a couple of tentative support areas at $0.22 and $0.21. Buyer congestion at $0.2088 put an end to the selling activity and launched XRP in the current trajectory targeting $0.25.

In the meantime, Ripple is trading at $0.2180 amidst a growing bullish momentum. Supporting the bullish action is the RSI’s recovery from the recent support at 60. As long as the indicator continues moving north, buyers will be encouraged to increase their positions in a bid to sustain the uptrend. Similar bullish signals emanate from the MACD currently moving higher above the mean line.

Likely to give the bulls a hard time is the confluence resistance at $0.2250, highlighted by the 200-day SMA and the 50% Fibonacci retracement level of the last drop from $0.3468 to a low at $0.11. If the price grinds above this zone, the rise to $0.25 will be relatively smooth while allowing bulls to shift the target to $0.30. Support areas on the downside are intact, ranging from $0.2088 (previous day low), the ascending trendline, to the 38.2% Fibo at $0.20.

XRP/USD daily chart