Ripple price rally stalled near the key level that last caused a 65% crash
Ripple’s ongoing upside retracement risk is exhausting as its price tests a historical resistance level with a history that has triggered a 65% price crash before.
XRP price rebounds 30%
Ripple’s price rose by almost 30% on June 24, reaching $0.36 on July 1, four days after bouncing back from $0.28.
The token’s recent rally could continue until it reaches $0.41.
The cup and handle pattern is a bullish reversal pattern that occurs when prices rise above resistance levels and then falls back below them.
The indicator has a profit target that is the same as Ripple’s 50-Day Exponential Moving Average (50-day EMM), which is the red line.
XRP is an asset token issued by Ripple, a company that provides financial services using blockchain technology. XRP is traded on
Major resistance hurdle
According to veteran analyst Thomas Bulkowsky, the cup-and-handle bullish reversal setup tends to reach its profit target at a 60 percent success rate.
However, it appears Ripple’s case falls into the 39% failure spectrum due to a conflicting technical signal presented from its 200-4H EMA.
The XRP price has been trading within an ascending channel since its inception. The 200-day exponential moving average (EMA) has also acted as a strong distribution signal, serving as a strong resistance level during the past few months. However, the XRP price has failed to break above the 200-day EMA multiple times, falling 65% to $0.28 later.
XRP is currently trading at $0.30, down 0.3% in the last 24 hours. X
The ongoing bullish trend has stalled halfway after XRP retested its 200-day exponential moving average (EMA) as resistance on June 23, 2019. Now, the token waits for further bias confirmation while risking another price decline similar to what occurred after April.
XRP’S overbought RSI, now above 70, also increases the possibility of an interim correction.
XRP LTF breakdown underway
On Ripple’s shorter-term chart, the downside scenario comes in line with giant bears on its longer-term chart.
After Cointelegraph covered the price action of Ripple (XRP) earlier, the coin entered a breakdown phase.
As a general rule of thumb, if a stock’s triangle breakdown has it fall by as much of its maximum height, then its downside target is likely near $1.86 (or lower).
This week we see a descending triangle forming on the XRP/USD pair. This pattern is a continuation of the
Another 50% price drop for Ripple could happen by the end of July this year.
Ripple’s XRP token has been under pressure since the beginning of the year, when the cryptocurrency market started to recover from its 2018 slump. Ripple’s XRP/USD pair had been trading in a tight range between $0.30 and $0.35 since January 2019. However, the recent selloff in the broader market has pushed the price down to below $0.20.
The XRP/USD pair has been trading in a range-bound action since
A score of 1 indicates that the two assets move in perfect synch.
Cryptocurrency funds have raised almost $100 million in recent months, anticipating a rise in interest rates from the Federal Reserve.
If Ripple wins the lawsuit against them for allegedly selling unregistered securities, then the price could go up.
Many people have been saying that for over a year now.
XRP is currently trading at $0.33, down from its all-time high of $3.30. If the current price action continues, we expect XRP to test the long-term ascending trend line support at $0.31. However, if the price breaks below $0.31, then there is a chance that the token will fall back to $0.21.
XRP is an open-source project that allows users to send money
The bounce has also been following XRP’s RSI decline below 30 — an indicator of oversold conditions, which signals a potential buy signal.
The views expressed here are the author’s own and do not represent those of Cointelegraph in any way. We encourage everyone to conduct their own research before making any investment decisions.
