Published 8 hours ago
The Ripple (XRP) price trapped within the $0.388 and $0.318 barriers indicates a narrow range. However, as a support trendline of ascending triangle pattern squeezing this price spread thinner, the altcoin soon provided a decisive breakout. Completing this pattern will bring a direction move for XRP/USDT pair.
Key points:
- The XRP price needs ascending triangle pattern breakout to escape the current consolidation
- The support trendline offers dynamic support to the recovery rally
- The intraday trading volume in the XRP is $912 Million, indicating a 14% loss.
Source- Tradingview
Over the past two months, the $0.388-$0.315 supply zone has prevented the bullish trend from rising any further. However, as the overall market sentiment is improving, the XRP/USDT chart show a series of higher lows, indicating growth in underlying bullishness.
Connecting these aforementioned lows with the trendline, the technical chart reflects an ascending triangle pattern. Furthermore, rising under the influence of this pattern, the price action is now wavering just below the neckline resistance of $0.388.
The XRP price consolidating within $0.388 and $0.318 for nearly three weeks indicates a no-trading zone. Furthermore, the long-wick rejection candle on both ends indicates uncertainty among market participants.
Thus, the buyers need to breach the overhead resistance and provide a candle closing above it to trigger the bullish pattern. The post-breakout rally may surge the XRP price 21% higher to tag the $0.46 mark.
On a contrary note, a breakdown from the support trendline will offset the bullish thesis and encourage a significant correction. Losing this support, the XRP may plunge back to the $0.3 mark.
Technical Indicator
DMAs: the XRP buyers obtain potential support as the price breached the 100 DMA slope. Moreover, a bullish crossover between the 20 and 100 DMA may encourage the bullish momentum for a $0.388 breakout.
MACD indicator: the multiple crossovers between the fast and slow lines accentuate the current consolidation. However, these slopes move the neutral zone, indicating the buyers have the upper hand.
- Resistance levels: $0.388-$0.315 and $0.42
- Support levels: $0.36 and $0.33
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-analysis-investors-need-0-38-breakout-to-end-price-consolidation/