Ripple Signaled ‘’Sell’’ And Could Drop Below $0.20: Analysis

Ripple signaled a ‘’sell’’ sign and it has now become vulnerable to dropping below the $0.20 level as we are reading in the XRP news.

Ripple failed to stay above the $0.2050 resistance and dropped recently against the US Dollar. The XRP price is showing some bearish signs and it could drop further below the $0.1980 and $0.1960 level. Ripple traded as high as $0.2066 resistance and then dropped against the US dollar. The price showing many bearish signs but there was a breakout below the key ascending channel with support close to the $0.2015 level on the hourly chart.

The pair will continue lower below the $0.1980 and the $0.1960 levels. Bitcoin reached the $9,950 level recently but then declined sharply. It prompted a bearish reaction in Ripple and it now seems that the XRP price failed to stay above the $0.2050 resistance so it started a fresh decline. There was a break below the $0.2040 and the $0.2020 levels so the price dropped below the 23% fib retracement level of the upward move to the $0.1848 low to the $0.2066 high.

There was a break below the key ascending channel with support close to the $0.2015 on the hourly charts of the XRP/USD pair. Ripple signaled that is now testing the $0.2000 support area and the 100 simple moving average. If there is a downside break below the 100 hourly SMA, the XRP price could test the $0.1980 support level. It will also get close to the 50% fib retracement level of the upward move from the $0.1848 low to the $0.2066 high. If Ripple encountered more downsides, the price could move down to the $0.1920 support.

Any further losses could open the door for more declines to the $0.1840 support area in the close-term. On the upside, the initial resistance is close to the $0.2050 level while still having a connecting bearish trend line with a resistance of $0.2050 on the same chart. If Ripple breaks the bearish trend line, there are huge chances of more gains above the $0.2066. The next major key resistance is close to the $0.2095 and $0.2100 levels. The hourly MACD for the pair is gaining momentum in the bearish zone while the RSI for XRP/USD is well below the 50 levels.