|

XRP Price Prediction: Ripple hints at an explosive move

  • XRP price coils in triangular fashion which explains the unpredictable price action during May.
  • A breach below $0.3839 could trigger a 25% decline to $0.31.
  • Invalidation of the bearish thesis is a breach above $0.4342, which could trigger a 25% rally towards $0.51.

XRP price unpredictability over the last few weeks is finally beginning to make sense. A triangle formation is now very apparent and justifies the erratic behavior displayed during the month of May.

XRP price is going to move 25% one way or the other

XRP price is beginning to show transparency as the digital asset has been notoriously challenging to trade during the month of May. The shakeouts, fakeouts, and false breakouts are now being stitched into a narrative that finally makes sense for the XRP community. A newfound triangle surrounds the XRP price. If the technicals are correct, a powerful 25% rally is now on the cards for the Ripple token, but the direction of its choice is still unclear.

XRP price currently trades at $0.4027. If the bears can produce a closing candle below $0.3839, a 25% decline could occur to $0.31. The lack of bullish involvement on the Volume Profile justifies this idea as triangle consolidations usually occur under low volume. 

tm/xrp/6/8/22

XRP/USDT 6-Hour Chart

The bulls could conquer the triangle, so traders must be aware of the opposite scenario. The bearish thesis will be void if the bulls can produce a closing candle above $0.4342. A 25% rally could occur to the upside landing the XRP price back into the $0.50 zone.
 

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

Crypto Today: Bitcoin, Ethereum, XRP extend decline, pressured by increasing ETF outflows

Cryptocurrencies are trading under pressure on Thursday, weighed down by risk-off sentiment driven by Middle East tensions and macroeconomic uncertainty. Bitcoin has extended its decline below $65,000 and is targeting the key support area at $60,000.

Bitcoin’s massive storm is back: Why the sell-off is far from over

Bitcoin price action over the last few weeks has felt less like a normal, healthy correction and more like a slow grinding crash that continues to wreak havoc on holdings and trading accounts. And everything suggests that the dramatic crash isn’t over.

Hyperliquid and Near Protocol fall sharply as Arthur Hayes dumps HYPE and NEAR for Worldcoin

Hyperliquid (HYPE) and Near Protocol (NEAR) prices have dropped 11% and 17%, respectively, at press time on Thursday, erasing gains as the well-known investor Arthur Hayes dumps HYPE and NEAR holdings.

Pi Network hits record low as market-wide risk-off sentiment weighs

PI price hovers around $0.1300 at press time on Thursday, reflecting a mild rebound from the $0.1186 record low reached earlier on the day. Deposits totaling roughly 1 million PI tokens on exchanges over the last 24 hours suggest waning investor confidence amid a broader market risk-off sentiment.

Billions in ETF outflows don’t bode well
Bitcoin (BTC) remains under pressure, trading below $74,000 on Friday, and is set to post its third consecutive week of losses. The institutional sell-off continues, with spot BTC Exchange-Traded funds (ETFs) recording billions in outflows. In addition, sticky inflation and macroeconomic headwinds suppress the Crypto King’s upside potential. Institutional demand continues to weaken so far this week.