The formation of an ascending triangle pattern hints the XRP price is poised for a significant upswing; when should you enter?
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During the recent crypto market downturn, the XRP price experienced its fourth pullback from the notable resistance at $0.55 on October 3rd. This setback resulted in a decline of 5.21% over the past 5 days, positioning the coin at the current trendline price of $0.52. Delving into the daily chart insights, this modest retracement falls squarely within the confines of an ascending triangle pattern. Here’s how this setup could impact the near future trend of the fifth-largest cryptocurrency.
Also Read: Whale Dumps $14 Mln XRP Despite Ripple’s Latest Wins
Bullish Pattern Hints Rally above $0.55
- The $0.55 level stands as a formidable batten against crypto buyers
- The triangle pattern assists the XRP price in regaining bullish momentum
- The intraday trading volume in the XRP is $619 Million, indicating a 13% loss
Source: Tradingview
Over the past two months, the XRP price has grappled with steadfast resistance at $0.55, evident from the four unsuccessful bids to breach this threshold. The recurring rejection candles at this juncture underscore the intense defensive stance of sellers.
Yet, the silver lining here is the steadily ascending support trendline, acting as a bulwark against deeper price plunges. This dual interplay sketches out the formation of an ascending triangle – a potential bullish continuation pattern.
As the XRP price navigates towards the triangle’s lower trendline, the buyers could reignite latent bullish enthusiasm, propelling the coin upward and maintaining its ongoing lateral movement.
Anyhow, under the influence of the triangle pattern, the coin price is more likely to break above the $0.55 barrier as it signals an upcoming recovery, the post-breakout rally could propel the XRP price 9.5% to touch an early target of $0.6, followed by the next significant resistance of $0.663.
XRP vs BTC Performance
Source: Coingape| XRP Vs Bitcoin Price
In a comparative analysis, the XRP and Bitcoin price has traged majorly sideways since mid-August 2023. However, with a closer look, it seems the BTC price is initiating a gradual recovery as it surpassed its last swing high of around 27,360 marks, However, the XRP price is still struggling to overcome the $0.55 barrier which creates some doubts about investment decisions.
- Supertrend: In the daily chat, this indicator started projecting a green film reflecting the increasing bullish momentum.
- Moving Average Convergence Divergence. The MACD and a signal line going flat at the neutral level accentuate a sideways movement in the XRP price.
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
