A bearish breakdown from the ascending triangle pattern hints the XRP price is poised for longer correction; time to sell?
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Over the past two months, the XRP price has largely been confined to an ascending triangle pattern, a formation typically indicative of a bullish continuation. However, the recent crypto market downturn has led to a bearish break below this pattern’s support trendline. This negative outcome from a fundamentally bullish setup suggests a lack of buyer conviction and raises the possibility of an impending major correction.
Will the XRP Price Fall Back to $0.42?
- A breakdown below the support trendline hints the XRP price is poised for a 12.5% drop
- A potential death crossover between the 50-and-200-day EMA could accelerate the selling pressure on this asset.
- The intraday trading volume in the XRP is $455 Million, indicating a 55% loss.
In the daily chart, the XRP price has manifested a V-top reversal from a multi-month resistance level of $0.05. This swift downturn over the past fortnight has slashed the coin’s valuation by 11.5%, driving prices down to $0.48.
This bearish momentum was further intensified on October 10th, when the altcoin broke beneath the ascending triangle’s support trendline. This breakdown has provided bears with an additional arsenal to exert downward pressure.
However, the coin price did manage a modest intraday gain of $0.25, hinting at a potential minor pullback to retest the breached level, now acting as a likely resistance. Should XRP sustain below this level, the asset could be poised for another 12.5% decline, potentially reaching the $0.425 mark.
XRP vs BTC Performance
Source: Coingape| XRP Vs Bitcoin Inu Price
Amid the recent consolidation trend in the crypto market, the XRP price performance pales in comparison to that of the largest cryptocurrency Bitcoin. While XRP has remained largely sideways, repeatedly hitting similar highs, the Bitcoin price has displayed an attempt at new recovery as it strives to recover from recent losses.
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.