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XRP Price Prediction: In the daily time frame chart, the XRP price shows the formation of a rounding bottom pattern. This pattern is often spotted at a market bottom and projects a clear transition from a downtrend passing through an accumulation phase before initiating a new recovery. In the current context, the XRP price witnessed a correction trend from mid-July to August, which after two months of accumulation in September- October has now started with a fresh recovery. Should you ride this rally?
Bullish Pattern Set XRP for Higher Recovery
- A recent breakout from $0.66 resistance set the XRP price at 38%
- A rounding bottom pattern leads to the current recovery trend.
- The intraday trading volume in the XRP is $459.6 Million, indicating a 38% gain
On October 24th, the XRP price breached the $0.55 resistance, marking a decisive end to the two-month accumulation phase. This breakout, buoyed by a broader market recovery, propelled the coin’s value by 35%, culminating in a high of $0.75.
Amid this rally, the XRP price surpassed a crucial hurdle created by the $0.66 price level and the 50% Fibonacci retracement level of its prior downtrend. This development suggests a diminishing influence of sellers and a lower likelihood of a downtrend resumption.
Earlier today, although the sellers momentarily forced a 9% dip, the price swiftly rebounded above $0.66, leaving behind a prominent long-wicked rejection candle. Should the altcoin maintain its foothold above this newfound support, the price is poised to escalate towards the $0.939 level, propelled by the rounding bottom pattern, and see a 38% potential gain.
Throughout this surge, the XRP price might encounter intermediate resistances at the $0.74 and $0.83 levels, corresponding with the 61.8% and 78.6% Fibonacci retracement levels, respectively.
XRP vs BTC Performance
Source: Coingape| XRP Vs Bitcoin Price
Over the past 30 days, both the XRP and Bitcoin price have reaped significant rewards from the prevailing recovery. However, as the BTC price momentum begins to fade at the $36,000 resistance, the XRP price continues to chart new highs, potentially positioning it as the more advantageous asset in the current market revival.
- Bollinger band: The sharp upswing in the upper boundary of the Bollinger band reflects the moment when the bullish momentum is active.
- Average Directional Index: The ADX slope rising above the 55% level warns of potential buyer exhaustion, which could lead to periodic pullbacks necessary to maintain a sustainable bullish trend.
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.