Ripple (XRP) price analysis: XRP back on the recovery track, hovering around $0.42

Ripple’s XRP hit $0.4272 high during late Thursday hours before retreating to %0.4190 by the time of writing. The third largest coin with the current market capitalization of $17.6 billion has gained over 3.5% since this time on Thursday amid climbing trading activity after a sharp sell-off at the beginning of the week. XRP’s average daily trading volume surpassed $2 billion.

Looking technically, XRP/USD has entered a new range limited by SMA100 (Simple Moving Average) 1-hour at $0.4136 on the downside and SMA200 1-hour coupled with SMA50 4-hour at $0.4250 on the upside. A sustainable move above the upper handle will take us to $0.4300 with  23.6% Fibo retracement located on approach. The next resistance awaits XRP’s bulls at psychological $0.44.

On the downside, the initial support is created by the bottom of the above-said channel at $0.4136. Once it is cleared, the sell-off is likely to gain traction with the next focus on psychological $0.40, followed by the recent low of $0.3839. The next barrier comes at May 26 low of $0.3756, strengthened by a confluence of 50% Fibo retracement and SMA200 4-hour. It has a potential to stop the downside correction and trigger the next bull’s leg.

XRP/USD, 1-hour chart