Published 9 seconds ago
XRP Price Prediction: Over the past two weeks, the XRP price has witnessed high volatility and has confined its movement to two trendlines. In the 4-hour time, this consolidation reveals the formation of a bearish flag pattern. In theory, this pattern formation offers a minor break before the bear trend continues. Here’s how you may trade this pattern.
Key Points:
- A bearish breakdown from the support trendline of the flag pattern could tumble the XRP price by 10%
- A bearish crossover of the 20 and 50 EMA in the 4-hour chart will accelerate the selling pressure in the market.
- The intraday trading volume in the XRP is $1.01 Billion, indicating a 71% gain.
Source- Tradingview
Following the phenomenal rise in March, exhausted XRP buyers failed to sustain the bull run resulting in a correction phase, driving the prices down to $0.48. Despite the correction, the price action maintains a higher low formation and avoids nullifying the uptrend as per Dow theory.
In the last few weeks, the prices have recovered 6.2% in a channel formation leading to a bearish flag pattern in the daily chart. Currently, the prices rest at the bottom support trendline of projecting the possibility of a short-term bull cycle within the channel.
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By the press time, the XRP price trades at $0.51 with an intraday loss of 1.82%. The candle formations at the support trendline show lower price rejection but the last 4-hour candle with a 1% fall shows a bearish engulfing candle threatening a downfall to $0.458.
Considering the prices sustain within the channel by avoiding a closing below the support trendline, a bull cycle can result in a 5% jump to $5.3. However, an extending selling spree will inevitably lead the XRP prices to $0.458.
Technical Indicator
RSI: despite a higher low formation in price action, the same lows in the RSI slope indicate selling pressure is high which increases the possibility of the aforementioned support breakdown.
EMAs: Along with the chart pattern’s support trendline, the 100 EMA slope also adds an additional layer of support in favor of buyers.
XRP Intraday Price Levels
- Spot price: $0.51
- Trend: Bearish
- Volatility: High
- Resistance level- $0.52 and $0.55
- Support level- $0.48 and $0.45
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/xrp-price-prediction-bearish-pattern-breakdown-threatens-xrp-price-for-10-fall/