XRP price portrays bullish vengeance aiming for $1
- XRP price could be printing an Ending diagonal.
- Ripple price is oversold on the Relative Strength Index.
- Invalidation is a break below $0.69.
XRP price has seen better days as the digital remittance token failed to reach $1 last month. Analysts at FXstreet did manage to foresee the sell-off coming, noticing sudden changes in price and volume behavior. It seems there was a reason for all the erratic price fluctuations for XRP lately.
XRP price signals a bullish reversal
XRP price seems to be coiling into a wedge-like pattern. The pattern is commonly known amongst Elliot Wave students as an Ending Diagonal, which is spotted as the last pattern before trend reversals occur. XRP price does have strong Fibonacci levels at $0.67, so being an early buyer is not advised. The best way to be on the right side of the trade will be to place a buy stop at $0.795. A break of this level could signal the end of the pattern.
XRP/USDT 8-Hour Chart
It is worth noting that the Relative Strength Index values the current XRP price as oversold, which could add further confluence to the bullish reversal pattern.
An invalidation for the trade setup will be a break below $0.69. If the XRP price were to breach this level, the bears could continue applying the pressure aiming for 40.67 and $0.64, resulting in a 15% dip from the current price.
Author
FXStreet Team
FXStreet
