For those who closely watch the world of cryptocurrencies, it’s undeniable that the XRP price has been witnessing some interesting market movements lately. Over the past five days, XRP has been trading sideways, consolidating between the $0.433 and $0.408 level, with no decisive direction from either buyers or sellers. This range showcases the uncertainty surrounding the coin, as it experiences long-wick candle rejections on both ends. However, examining the shorter time frame chart reveals the formation of a bullish pattern setup called an ascending triangle, signaling a possible potential upswing.
The completion of this ascending triangle pattern would release XRP’s price from its ongoing consolidation, while a breakdown below the support trendline triangle pattern would prolong the correction phase. It’s worth noting that the intraday trading volume in XRP is $340.5 million, marking a 45% decline.
XRP’s falling price has found support at the $0.41 level and the lower trendline of the channel pattern. After retesting this lower trendline, it’s likely that the price could witness a bullish swing, taking aim at the upper trendline. However, the uncertainty among market participants continues to keep XRP in sideways territory, reflecting the formation of an ascending triangle pattern. The rising support trendline is expected to push the price higher under the influence of this pattern, potentially clearing the neckline resistance of $0.44.
At the time of writing, the XRP price is trading at $0.426 with a modest intraday gain of 0.47%. A potential breakout from the $0.44 level may push the coin past the indecisive sentiment and propel it by 8% to challenge the aforementioned trendline. In order for buyers to obtain more confidence for a recovery rally, however, the XRP price must breach the resistance trendline of the channel pattern.
A few key technical indicators are also providing some insights into the current state of XRP. Firstly, the Relative Strength Index (RSI) slope in the 4-hour chart is exhibiting considerable growth, suggesting aggressive accumulation during this consolidation period. Secondly, the Bollinger Bands indicate that a breakout above $0.44 will also challenge the upper band, potentially rousing the interest of momentum traders.
To sum up, XRP’s current spot price is $0.426, with the overall trend being bullish and high volatility expected. Resistance levels are found at $0.43 and $0.485, while support levels are set at $0.42 and $0.38. While the long-standing debate over XRP’s trajectory continues, recent market patterns could provide an interesting development worth keeping an eye on.
Source: Coingape
