Can XRP Overcome Resistance at $2.67 for a Bullish Bounce?

• XRP struggles below $2.67 resistance, key level for a potential bullish reversal.
• MACD hints at weakening bearish momentum, suggesting possible price recovery for XRP.
• XRP finds temporary support at $2.30, crucial for avoiding further significant price dips.

Crypto analyst Egrag Crypto has identified essential resistance and support levels that will affect XRP’s price direction. The trading asset faces a challenge in recovering bullish price action after sustaining a price decline. A break above $2.67 representing the 21 EMA stands as essential for upward price action and successful spins beyond $2.81 (0.702 Fib level) might initiate a new price appreciation phase. 

XRP maintains its position at $2.39 during the current session as it demonstrates a 1.66% increase since yesterday. Market participants wait to see whether the bulls will reassert dominance or XRP will continue experiencing downward price movement.

Is XRP Ready for a Recovery? 

The price of XRP soared significantly during the fourth quarter of 2021 when it breached $3.00 before entering a downward trend. After its retracement, the price stabilized at around $2.30 before continuing its downward trajectory. 

The current market conditions show that XRP rests underneath the 21 EMA at $2.67 while facing challenges in overcoming this critical barrier. XRP shows indications of buyer intervention after falling to $2.30, but strong selling activity continues at nearly $2.40-$2.50.

If the price closes decisively higher than $2.67, this would demonstrate renewed buyer strength to move towards $2.81 as its next price target. A failure to surpass the resistance level could trigger an additional price decline, which may reach either $2.30 or $2.08, which represents the 0.236 Fibonacci retracement zone.

Technical Indicators: What Do RSI and MACD Suggest?

The Relative Strength Index value of 37.02 shows that XRP approaches the point of oversold market conditions. The market shows indications that it might retrace higher if buying strength returns. A rising indicator past the 50 threshold authenticates trend changes.

The current position of the MACD line beneath the signal line shows bearish momentum through persistent red histogram bars. Downward MACD line movement is showing signs of weakening through its slight bending pattern, which may indicate an imminent market reversal.

Source: TradingView

XRP’s price patterns exhibit uncertain behavior based on its support at $2.30 and its resistance zone between $2.67 and $2.81. The 21 EMA provides important support and resistance for XRP price action, so if the price breaks through it with power, it indicates positive changes, but failure to break through could mean more price falls. Traders should focus on these levels to identify XRP’s following directional movement patterns.

The post Can XRP Overcome Resistance at $2.67 for a Bullish Bounce? appeared first on Cryptotale.