- XRP price is displaying bullish fatigue on the Relative Strength Index.
- Ripple price is coiling into a triangular pattern.
- Invalidation of the bearish thesis is a breach at $0.465.
XRP price has investors questioning how low the digital remittance token can fall. As other cryptocurrencies are positioning for an anticipated countertrend spike, XRP price action diverges from the pact, hinting at another drop in the coming weeks.
XRP price is coiling for a breakout
XRP price displays slightly bearish signals to start this week's trading session. The XRP price is printing lower highs and higher lows as the bulls and bears continue in the tug of war at $0.4250. The forming triangle pattern is undoubtedly set to send the XRP price into a strong rally. The directional breakout from the triangle could go either way. Still, this thesis will be written to justify a short-term bearish outlook while keeping an invalidation level tight to capture profits from the alternative bullish scenario safely.
XRP price most important cautious signal is the Relative Strength Index. The Ripple price continues to gain profitable grounds. At the same time, the RSI values the uptrend's power similar to the April 3 $0.80 when the XRP price also failed to produce a bullish breakout from a much larger triangle pattern. This subtle cue could be inducing XRP price into bullish fatigue as the bulls are not gaining much profit while competing with minimal support. If the technicals are correct, a fall into $0.31 could wipe out day traders' liquidity stops before a strong rally into $0.50 occurs.
XRP/USDT 6-Hour Chart
Still, invalidation is necessary to make sure some profit can be captured to counterbalance the risk of being early on the wrong side of the trade. An invalidation for the bearish trend line lies at a break at $0.4650. If the bulls can breach this level, an immediate buy entry can be placed while keeping the safety stop at the swing low at $0.3869. The bulls should be able to reconquer $0.50 and possibly $0.54 resulting in a 27% increase from the current XRP price.
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.
Recommended Content
Editors’ Picks
Ripple wipes out weekly gains, experts comment on role of Ripple stablecoin
Ripple declined to $0.52 on Thursday, erasing all gains registered earlier this week. Ripple SVP Eric van Miltenburg’s comments on the firm’s stablecoin, and how it is expected to benefit the XRP Ledger and native token XRP have raised concerns among crypto experts.
Hedera HBAR slips nearly 10% after air is cleared on mistaken link with giant BlackRock
HBAR price is down nearly 10% on Thursday, partly erasing gains inspired by the misinterpreted link with BlackRock. Despite the recent correction, Hedera’s price is up 44% in the past seven days.
The reason behind Bonk’s 105% rise and if you should buy now Premium
Bonk price has shot up 105% in the past five weeks. A retracement into $0.0000216 or the $0.0000152 to $0.0000186 imbalance would be a good buying opportunity. Patient investors can expect double-digit gains from BONK that could extend up to 70%.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price. Coupled with broader market gloom, INJ token’s doomed days may not be over yet.
Bitcoin: BTC post-halving rally could be partially priced in Premium
Bitcoin (BTC) price briefly slipped below the $60,000 level for the last three days, attracting buyers in this area as the fourth BTC halving is due in a few hours. Is the halving priced in for Bitcoin? Or will the pioneer crypto note more gains in the coming days?