XRP Price Climbs 50% In One Week To New Yearly High – Look At These Levels Next

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Bitcoin (BTC) has been in the spotlight in recent months, but altcoins have finally started to follow the number one cryptocurrency. Several large caps have done double-digit runs in the days preceding, resulting in a mini-season.

Not only did Ether (ETH) surge above $ 500, Litecoin (LTC) also gained 40% the week before. However, XRP (XRP) is currently in the spotlight with a daily rally of over 20% and a new annual high after gaining over 50% last week.

XRP Breaks Crucial Resistance at $ 0.30

5 Day XRP / USD Chart. Source: TradingView

The higher timeframes show a crucial breakthrough for XRP as the resistance area at $ 0.30 has provided resistance throughout the past year.

A breakout like this is essential for more bullish momentum as it means that a new higher high and a new annual high has been reached.

Such a high level increases the likelihood of a further uptrend while potentially establishing a new support level in the previous resistance area of ​​$ 0.30.

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If this area switches to support, a new range is set for XRP, and the trend may reverse for the first time in three years.

Key levels to watch in the XRP / USD pair

XRP / USDT 1 day chart. Source: TradingView

The XRP price chart shows massive movement over the previous days. As an investor, you should be aware of FOMO and perhaps avoid jumping after such a decision.

This obviously includes XRP, especially after a massive FOMO candle, after which a strong correction usually occurs.

These corrections are fascinating to watch for a downward buying approach as it presents huge opportunities.

The levels to watch are clearly above the current price where multiple resistances are found, the most critical being $ 0.4275 and $ 0.495.

If the price of XRP corrects, the support area to watch for a possible support / resistance reversal is at $ 0.33 and the range is $ 0.29-0.31.

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If these sustain the support, a great opportunity for the next move could be created.

Bitcoin dominance shows possible peak

4-Day Bitcoin Dominance Chart. Source: TradingView

Bitcoin’s market cap dominance is finally showing signs of a higher potential construction, as it is currently on the decline. History has provided interesting data for this account. The fourth quarter is often painful for altcoins, after which a prominent build is usually seen for BTC.

However, if Bitcoin starts to correct, altcoins will likely fall along with Bitcoin. This would push Bitcoin’s dominance back above 67%.

Historical data shows such highs in December, which appears to be the case during this period.

If so, altcoins will have a massive first quarter or ‘extra season’ in 2021.

Levels to watch in XRP / BTC

4 day XRP / BTC chart. Source: TradingView

XRP’s BTC pair is showing clear signals for a potential reversal. Currently, XRP / BTC is testing the previous range of support for resistance. If it rejects here, a support / resistance flip would be bearish.

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In this regard, there are a few levels and scenarios to watch out for for a possible further upside.