Ripple Technical Analysis: XRP/USD on the verge of a triangle breakout, is $0.32 within reach?
|- Ripple renews the bullish trend in an engulfing candle, retesting resistance at $0.30 ahead of a potential triangle breakout.
- XRP/USD may settle for consolidation according to the horizontally moving RSI.
- The bullish grip above $0.29 is reinforced by the upward trending MACD coupled with the bullish divergence.
Ripple price has been narrowing within a falling triangle pattern for two weeks now. The retreat followed an impressive price action that has seen XRP rally from July lows at $0.1740. The break above $0.30 was music to the investors’ ears. Unfortunately, Ripple soon hit a barrier at $0.3250.
The lock-step trading over the last couple of weeks has mainly been in favor of the bears because XRP has explored lower levels under $0.30 and closer to the support at $0.26. The establishment of credible support at $0.28 gave buyers the opportunity to push for gains above the 50 SMA hurdle in the 4-hour range.
XRP/USD is dancing at $0.2934 at the time of writing. The aforementioned recovery stalled on brushing shoulders with the barrier at $0.30. However, the formation of a falling triangle pattern could give way for gains above $0.30.
Ripple is on the verge of this triangle breakout even as the 50 SMA provides immediate support as bulls focus on overcoming the triangle resistance. If the breakout comes into the picture and is supported by a substantial trading volume, there would be a chance that XRP will extend the price action not only above $0.30 but also push beyond $0.32.
Technically, the price action is likely to settle for consolidation as observed with the RSI. The indicator has slowed down upward momentum but is holding well above the midline. The MACD, on the other hand, is moving towards the mean line. Its visible bullish divergence highlights a stronger bullish grip.
XRP/USD 4-hour chart
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