|

Here’s how the final fall into $.30 could look like for the XRP price

  • XRP price is declining in an impulsive fashion
  • XRP price is displaying a decrease in volume 
  • Invalidation of the bearish thesis is a close above 0.44

XRP price could fall into the mid $0.30s once more before a powerful countertrend journey begins. 

XRP price is following the technicals thus far

XRP price is showing reasons to believe in one more decline. Since the end of April, the bears have suppressed the Ripple price, producing extended impulse waves on intra-hour and daily time frames. The XRP price is screaming for a need for balance and proportion as the bulls have printed a bullish hammer with significant volume.

XRP price is currently trading at $0.41 as the bears are vertically pushing the price. The steep decline resonates with Wave 3 characteristics, which is expected from the technicals if the Ripple price will indeed push prices into the mid $0.30 levels. The volume has also significantly decreased compared to the sell-off at the beginning of May, a further confluence that the current decline may be the last wave down.

TM/XRP/5/18/22

XRP/USDT 1-Hour Chart

Invalidation for the bearish thesis lies at $0.44. Because this decline could be the last wave within a macro flat correction, it is not recommended to short the XRP price. Intraday traders should be on the lookout for a truncated five-wave impulse to signal an ending to the downtrend. If the 0.44 is broken prematurely without the look of a five-wave impulse below, this thesis will be deemed invalid. The XRP price could rally towards 0.50, resulting in a 20% increase from the current Ripple price. If this bullish scenario occurs, the XRP price will need a revised count to issue future price projections.

TM/XRP/5/18/22

XRP/USDT 1-Day Chart

Author

Tony M.

Tony M.

FXStreet Contributor

Tony Montpeirous began investing in cryptocurrencies in 2017. His trading style incorporates Elliot Wave, Auction Market Theory, Fibonacci and price action as the cornerstone of his technical analysis.

More from Tony M.
Share:

Editor's Picks

XRP turns bearish as US inflation jitters hit crypto

Ripple is stuck in a bearish trend, trading near $1.30 on Thursday. The remittance token’s bearish shift reflects the broader cryptocurrency market, which remains under heavy selling amid concerns about accelerating inflation in the US.

Pi Network extends losses ahead of Protocol v28 Mainnet upgrade

Pi Network (PI) trades around $0.0780 at press time on Thursday, rising from $0.0740 earlier in the day. Pi Mainnet is scheduled for the Protocol v28 upgrade on Friday, focusing on data handling and smart contract maintenance.

Crypto Today: Bitcoin, Ethereum and XRP test short-term support amid market-wide selling

Cryptocurrency prices remain under intense selling pressure on Thursday, with Bitcoin struggling to hold above $81,000 after testing its key demand area near $80,000. Ethereum reflects Bitcoin’s weakening technical outlook, edging lower below $2,400.

Bitcoin slips below $81,000 amid inflation fears, ETF outflows

Bitcoin extends losses, slipping below $81,000 on Thursday as hotter-than-expected US inflation data weigh on market sentiment. Institutional demand weakens as BTC spot ETFs recorded an outflow of over $261 million on Wednesday.

Bitcoin: Uptober or Rektober?
Bitcoin (BTC) price is down over 4% so far this week, trading below $83,000 at the time of writing on Friday as mounting selling pressure threatens to derail the seasonal “Uptober” rally. Profit-taking, a surge in long liquidations and weakening demand from institutional investors are weighing on BTC.