Share:
  • XRP price broke out of a bull pennant on April 10, targeting $1.58
  • If the buying pressure persists, Ripple might surge another 16% to $1.68.
  • The MRI shows the formation of a cycle top on the 12-hour chart, suggesting a move lower.

XRP price has been on a tear lately as it has more than tripled since late March. However, considering the overall cryptocurrency market being overextended, the remittance token might be due for a correction.

XRP price remains indecisive

XRP price spiked 100% from April 4 to April 6, creating a flag pole. The consolidation in the form of a pennant that ensued after the initial leg up created a bull flag pattern.

The technical formation forecasts a 50% upswing, determined by measuring the flag pole’s height and adding it to the breakout point. This consolidation saw a breakout on April 10 at $1.05, which signaled the start of a new uptrend to $1.58. 

Since breaking out of the pennant, XRP price has surged nearly 42% to $1.50 but failed to hit its target at $1.58. If the remittances token manages to muster up bullish momentum, it might head toward the immediate supply barrier at $1.68, created by the Momentum Reversal Indicator’s (MRI) breakout line.

XRP/USDT 4-hour, 12-hour chart

XRP/USDT 4-hour, 12-hour chart

The bullish momentum that more than tripled XRP price seems to have disappeared, resulting in consolidation. Additionally, the MRI has printed a cycle top in the form of a red 'one' candlestick on the 12-hour chart, forecasting a one-to-four candlestick correction.

Hence, a potential spike in selling pressure might push XRP price toward the 78.6% Fibonacci retracement level at $1.16. This move would indicate a 19% downswing.

If the said barrier fails to absorb the bearish momentum, the Ripple price could be in for a 13% correction toward the MRI’s State Trend Support at $1.

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.

Join Telegram

Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended content


Follow us on Telegram

Stay updated of all the news

Join Telegram

Recommended Content

Editors’ Picks

Could Aptos price buckle under pressure and crash 55%?

Could Aptos price buckle under pressure and crash 55%?

Aptos (APT) price is pushing on the red descending trend line to trigger a breakout trade with a rally toward $20.36. The move is an outlier as the downtrend since the beginning of February has not finished one day in the green. 

More Cryptocurrencies News

Cardano price looks overpriced, 17% nosedive likely for ADA

Cardano price looks overpriced, 17% nosedive likely for ADA

Cardano (ADA) traders need to face reality as markets are pivoting back toward a sticky inflation story, which contradicts the Goldilocks story that was the driving force in January.

More Cardano News

Luna Classic gears up for recovery after Binance support and latest upgrade

Luna Classic gears up for recovery after Binance support and latest upgrade

Terra Classic (LUNC) formerly known as LUNA is upgrading from its v1.0.4 version to v1.0.5. The world’s largest exchange by volume, Binance has announced support for Luna Classic, fueling a bullish narrative among LUNC holders. 

More Luna Classic News

XRP Price Prediction: Will Powell propel Ripple or dampen the 2023 bull rally?

XRP Price Prediction: Will Powell propel Ripple or dampen the 2023 bull rally?

Ripple (XRP) price sees traders front-running the main event for today with Federal Reserve Chair Jerome Powell taking the stage later this evening at 17:00 GMT in Washington.

More Ripple News

Bitcoin: Nonfarm Payrolls on the radar after Powell’s speech propels BTC higher

Bitcoin: Nonfarm Payrolls on the radar after Powell’s speech propels BTC higher

Bitcoin (BTC) price is at an inflection point as it continues to rally amid multiple sell signals on lower time frames. The Nonfarm Payrolls (NFP) report, including the unemployment rate and average hourly earnings, is set to be announced on February 3 at 1330 GMT.

Read full analysis

BTC

ETH

XRP