Ripple price analysis: This falling wedge pattern is nothing but a doomsayer
|- Ripple is extending declines towards August lows ($0.24).
- A support is required above $0.27 and a path heading to $0.30 established for Ripple to escape the bear pressure.
Ripple is still exploring the monthly lows and could soon be testing August lows at $0.24. The declines that kicked off mid-last week continue to dominate the market giving a blind eye to the positive news in the industry especially those relating to regulations.
The United Kingdom Financial Conduct Authority has today said that it is not ruling out the roles of cryptocurrencies in the industry but at the same time it will continue to warn of the risks that come with digital assets. The regulator also said that the virtual currencies and especially the blockchain technology’s contributions to the financial systems are important.
Meanwhile, Ripple is trading in a falling wedge pattern after the short-term bullish trend at the opening of the session today failed to clear the resistance at the 50SMA. The price is risking another breakdown to $0.24 (Aug lows), especially if a technical break past the falling wedge pattern pulls through. Moreover, new lows are also imminent unless a reversal above the 23.6% Fib level with the previous swing high of $0.3051 and a swing low of $0.2592 occurs.
XRP/USD 1-hour chart
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