- XRP is currently trading at $0.2495 after successfully defending the lower boundary of a daily symmetrical triangle pattern.
- Only one critical resistance level separates XRP from climbing towards $0.30.
It seems that XRP is finally showing some bullish signs after months of sideways trading. In the past week, the digital asset lost close to $1 billion in market capitalization but has already recovered around $400 million in the past 24 hours.
XRP is on the verge of a massive breakout
XRP formed a symmetrical triangle that is now extremely close to a breakout. The upper boundary of the pattern has acted as a resistance point several times in the past, on August 18, September 2, and more recently on October 13.
XRP/USD 12-hour chart
The last rejection on October 13 sent XRP down to the lower boundary after slipping below all three SMAs. However, bulls managed to defend this support level for seven days in a row before finally rebounding and re-conquering the 50-SMA and the 100-SMA.
Additionally, the MACD is also on the verge of a bull cross, the first since October 4, which pushed XRP by more than 11% within the next week. The most critical resistance level is established at $0.252, which is the upper boundary of the symmetrical triangle and the 200-SMA.
A breakout above this point can most likely drive XRP towards $0.30 as there are no other significant resistance levels on the way up. The RSI is not overextended and will not likely pose any threat for the bulls well until the price reaches $0.30.
XRP/USD 4-hour chart
At the same time, the digital asset could be facing another rejection from the upper boundary of the symmetrical triangle like the past three times. On the 4-hour chart, bulls are trying to close above the 50-SMA and the 100-SMA, but they struggle.
Rejection from both SMAs at $0.248 can drive the price of XRP down to the 200-SMA at $0.244. However, more importantly, if the bulls can’t close above the critical resistance level at $0.252, another rejection is likely to push the digital asset down to the lower boundary at $0.242 again.
Critical price points for XRP
The most important pattern for XRP is the symmetrical triangle which is close to a breakout. A breakout above the crucial resistance level at $0.252 can easily drive the digital asset towards the psychological level of $0.30.
On the other hand, bears still have a chance of coming back after another rejection. If bulls fail to close above $0.248, XRP can slip towards $0.244. Failure to climb above $0.252 would most likely push XRP down to $0.242.