Ripple (XRP) Needs To Break Past 21 Day EMA To Stage A Successful Breakout

Ripple (XRP) is struggling to break past the 21 Day EMA. If it fails to break past that level, XRP/BTC will have to fall back towards the bottom of the wedge in order to gain enough bullish momentum for a breakout. The 200 Day Moving Average is also a solid support level that will be hard to breach should Ripple (XRP) fall against Bitcoin (BTC) in the days ahead. RSI for XRP/BTC certainly has ample room for a pullback but the current price action for XRP/BTC does not indicate that Ripple (XRP) is ready for a correction yet. During the past few weeks, we have constantly been anticipating a correction in XRP/BTC as Ripple(XRP) had previously surged enormously against Bitcoin (BTC) even as the rest of the market tumbled.

The current outlook of XRP/BTC favors a breakout to the upside as the most likely consequence. However, there is till some room for a pullback to the downside. On the big picture, we can see that XRP/BTC was trading up when it entered the symmetrical triangle. Now, the symmetrical triangle being a continuation pattern indicates that XRP/BTC has a very high probability of trading to the upside as it breaks out of this symmetrical traingle. This means that we are likely to see Ripple (XRP) reaching a new high against Bitcoin (BTC) in the months ahead. This is reasonable to expect considering we have long been ancitpating an altcoin rally as most cryptocurrencies have bottomed out against Bitcoin (BTC) and are now looking to correct to the upside.

Ripple (XRP) used to be the cryptocurrency that was considered an outcast in the crypto community. There is a reason Ripple (XRP) did not end up on Coinbase even though it is an older cryptocurrency than Ethereum (ETH). The crypto community back then was very anti Ripple (XRP) in its early days because of what it stood for. Before 2017, the crypto community mostly comprised of tech geeks who had heard early about Bitcoin (BTC). Most of them were either developers, miners or early adopters who believed in what Bitcoin (BTC) stood for. This is why most of them first flocked to Bitcoin (BTC) and then Litecoin (LTC) when they realized that Litecoin (LTC) could solve some of Bitcoin (BTC)'s issues that might lead to future adoption for Litecoin (LTC). However, Ripple (XRP) was ignored for the most part during that phase. 

As crypto adoption grew, a new pool of investors came in who did not care much about ideals, tech or anything else that the early adopters cared for. They were more interested in riding the rocket to the moon. Those people saw Ripple (XRP) priced in cents and they thought, "This is dirt cheap". So, most of them bought a ton of Ripple (XRP). This brought in the whales to the game who now realized that they could use XRP/USD  to maximize their returns while preying on unsuspecting investors some of whom actually thought Ripple (XRP) could one day go as high as Bitcoin (BTC). So, they pumped the price past $3 and then dumped on those investors who are still holding the bags. All of that has shown us that for the quick buck artist who wasn't skilled enough, this was a bad play. Most of them got trapped and are now losing their patience to make their money back. The unfortunate reality is that they will have to wait a long time now. As for the patient investor who understands market cycle, this is an opportunity to start accumulating for the long term.