Outlook Remains Bearish With No Signs of Breakout

Bitcoin began the week at $63,800 after concluding the previous week with a positive momentum, indicated by a green candle. According to analysis,Bitcoin is at a critical juncture, where its current price behavior closely mirrors past cycles. The price could continue to waddle in its current range, possibly testing lower levels like $61,000 before making a decisive move.

However the  XRP price chart is currently facing resistance between $0.59 and $0.62, and has failed to break above this level. This suggests a potential larger correction. The movement since early August has shown a three-wave pattern, which doesn’t give a clear indication of the trend direction.

For a bullish scenario, XRP needs to hold above the August low of around $0.43 and break through the resistance at $0.63 and $0.66. If the price drops, it could test the support levels around $0.54, $0.52, and $0.49. The outlook remains uncertain, with the possibility of more sideways movement or a further decline before a clearer trend emerges.

Understanding Correction Scenarios:

ABC Structure: One possible scenario is that the recent price movements form an ABC structure, with the “C” wave potentially unfolding as a diagonal pattern. The rally from August 5th to August 7th is seen as part of this structure, hinting at a potential wave 1 of a diagonal pattern. The pullback could be a wave 2, which is expected to form a higher low above the August low of $0.43.

Breakout Requirements: For the bullish scenario to gain traction, XRP needs to break above the recent high of $0.63 and the July high of $0.66. Only a decisive move above these levels would confirm the continuation of the uptrend.