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Ripple (XRP) Poised For A Big Breakout After Weeks Of Continuous Sell-Off

 
Ripple (XRP) Poised For A Big Breakout After Weeks Of Continuous Sell-Off
Breaking News / Cryptocoins / Analytics / Ripple

Ripple (XRP) is poised for a major break out as the price eyes a break out of the descending triangle it has been trading in since the beginning of the correction. This break out could be to the upside same as it could be to the downside. However, the price may not take long to stay down even if it breaks to the downside. This is because XRP/USD has long been consolidating above a key support that has yet to be broken. The Stochastic Momentum Indicator on the weekly chart shows that the price is once again poised for a major break out in the weeks ahead. This break out could easily push the price above the $0.50 mark and pave the way for a rise to a new ATH most likely in 2019.

The price of Ripple (XRP) has been trading sideways for the past few weeks which has left a lot of investors worried as to the risks of further downside but as long as the price remains above the $0.28 mark, long term investors have nothing to fear. That being said, if the price breaks and closes below that mark it might be a deal breaker and the sentiment would take a very long time to recover. The probability of that happening is quite low as a lot of major banks and financial institutions are just one step away from formally declaring their intention to use XRP. In fact, the Euro Exim Bank just recently integrated Ripple’s xRapid service in their system which means they will now use XRP instead of their nostro/vostro accounts.

Chart for XRP/BTC (1W)

Many other financial institutions are ready to make the same move soon as they have the first sign of this bear trend being over. This is why things are going to change rapidly soon as we have confirmation that the bear trend is over. Investors who have accumulated during the bear market would find themselves holding at far better prices compared to investors who are waiting for confirmation before they jump into the market. The recent policy change that saw the Fed turn away from its hawkish QT policy will ultimately pave the way for a dovish QE policy as the stock market will still not be able to recover even if the Fed backs off.

In fact, they are going to need the Fed’s help to inject more money into the markets. This is not going to be possible without some good old quantitative easing. Interest rates are still quite low as they stand but I’m afraid the Fed will need to lower them further if they mean to help the stock market which they seem eager to. This will make borrowing a lot cheaper and perhaps this would be the catalyst we have been waiting for that will see billions of dollars of new money flow into this market that should see cryptocurrencies like Ripple (XRP) eventually reach trillions of dollars in market capitalization.

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