- XRP price has transformed into a new, high probability opportunity.
- Yesterday, Ripple rewarded the buy the dip investment philosophy.
- 43rd treasurer of the United States joins Ripple board of directors.
XRP price opportunity began as an inverse head-and-shoulders pattern, but it has evolved into a bullish cup-with-handle base on the intra-day charts. Ripple’s compelling transformation has it on the cusp of a sizable rally, putting the all-time high at speculator’s fingertips.
Former US treasurer joins Ripple’s board of directors
To begin, it is essential to mention that the 43rd treasurer of the United States, Rosa Gumataotao Rios, has joined Ripple’s board of directors. She served as the treasurer from 2009 to 2016 under the Obama administration.
As treasurer, she led all currency and coin production activities with an annual budget of $5 billion. In general, her career has primarily concentrated on economic development, urban revitalization and real estate finance.
In Ripple’s blog post, Rios emphasized her commitment to financial inclusion and empowerment and how innovation plays a significant role in that pursuit. She also articulated the view that cryptocurrency is the what and Ripple is the how.
I’ve dedicated my career to financial inclusion and empowerment, which requires bringing new and innovative solutions to staid processes. Ripple is one of the best examples of how to use cryptocurrency in a substantive and legitimate role to facilitate payments globally.
It is an exciting coup for Ripple, considering the ongoing battle with the SEC and whether to define XRP as a security or as a currency. No doubt, the Rios appointment adds the credibility necessary for Ripple to navigate the halls of the US political and legal establishments.
XRP price battles the skeptics
On April 29, XRP price triggered the neckline of an inverse head-and-shoulders pattern, lifting Ripple 13% for the day. At the time, the projected move for the bottom formation was $2.47 or a gain of 70% from the neckline. The anticipated rally would crush the psychologically important $2.00 and the 61.8% Fibonacci retracement of the 2018-2020 bear market at $2.08.
XRP price failed to capitalize on the superior breakout. It slipped into a minor pullback until it jumped 13% today, reclaiming the neckline of the inverse head-and-shoulders pattern and originating the potential for a cup-with-handle base.
A trade above $1.66 will trigger the Ripple cup-with-handle base and offer new speculators the opportunity to capitalize on a timely entry price. XRP price will encounter resistance at the April 13 high at $1.96, but the more significant challenge will be $2.00 and $2.08. An acceleration in the rally should propel XRP price to the inverse head-and-shoulders measured move target of $2.47, a gain of 70% from the neckline breakout on April 29.
The focus of this outlook is the cup-with-handle measured move target of $3.16. To achieve the thesis projection, XRP price will have to conquer resistance at the 78.6% Fibonacci retracement of the 2018-2020 bear market at $2.61 and then $3.00.
A rally of this magnitude would put XRP price within reach of the 2018 all-time high at $3.30.
XRP/USD 12-hour chart
Ripple is a classic high-risk, potentially high-return cryptocurrency opportunity, and for that reason, speculators need to be aware of the critical support levels. A decline below the handle low of $1.31 would be a warning that XRP price was vulnerable to a larger pullback and, as a result, a more complex bottoming process.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.