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Ripple Price Prediction: How a $0.20 XRP price may still be on the table

  • Ripple’s XRP price comes in contact with a significant Elliot Wave Trend Channel.
  • Social media is in a frenzy over Ripple’s Co-founder Jed McCaleb’s sales of the XRP token.
  • Invalidation of the bearish thesis remains a breach above $0.47.

Ripple’s XRP price moves in unison with the rest of the market as investors have witnessed a 20% rally since July 11. Still, the Ripple price could fall once more if the technicals are correct.

Ripple’s XRP price faces turbulence

Ripple’s XRP price has recently been tagged an Elliot Wave Trend Channel (EWTC). Elliot Wave practitioners such as Robert Prechter will attest that being an early bull of the XRP price is risky for two reasons. One, the current uptrend is very noisily congested and does not display a clear impulse wave. Secondly, the breach of the descending EWTC is a serious matter for smart money operators to consider re-entering a possible short. 

If the technicals are correct, the first new swing low could be a massive bull trap for the XRP price. The targets for one more decline lie between $0.15 and $0.20. Still, as the recent 20% rally is still intact, traders should be wary of placing an early short for now. Look for a lower low, after a higher low is established, or a classical rejection-retest-and-fall from the EWTC.

tm/xrp/7/19/22

XRP/USDT 12-Hour Chart

The market sentiment has also witnessed a significant shift. Social media is in a frenzy as reputable analyst “ Peter Brandt called the XRP cryptocurrency ‘garbage’ in response to a tweet about the sales of Ripple co-founder Jed McCaleb.” Felipe Erazo - Social Media Manager & Analyst @FX-Street  

felipe. 7/19/22

Original Tweet

When combined the stars could be aligning for one more 40% decline for the XRP price. Still, being an early bear is ill-advised for now. Invalidation of the bearish thesis lies above $0.47. If the bulls can hurdle the said barrier, they may be able to rally towards $0.58, resulting in a 90% increase from the current XRP price.

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.

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