Ripple (XRP) is about to make its biggest move in more than half a year as the price prepares to exit the symmetrical triangle seen on the daily chart for XRP/USD. This could result in a strong move to the upside given the current trading conditions for Ripple (XRP) on the daily time frame. However, this might be Ripple (XRP)’s last move to the upside before the next correction which would see the price find its true bottom. For now, we see XRP/USD trading below the 50 day moving average but the 50 Day MA and 200 Day MA are very close which means one strong move up could set the ground for a sustained move to the upside that might last throughout the remainder of this month.
The Stochastic RSI for XRP/USD on the daily time frame shows ample room for a rally to the upside. The weekly conditions for Ripple (XRP) are also a lot more bullish compared to other cryptocurrencies which means Ripple (XRP) might once again be able to outperform the market near term. We have already seen XRP/USD make independent moves in the past and it is likely that this time will be no different. Considering that most cryptocurrencies are about to or have already reached overbought conditions on the weekly time frame, we might see Ripple (XRP) continue to move independently until it reaches overbought conditions on the weekly time frame as well. This means that while most cryptocurrencies trade sideways after a strong move to the upside, XRP/USD will most likely still have room for strong rallies.
The symmetrical triangle seen on the daily chart is about to be broken for the first time in more than seven months which is a big development for Ripple (XRP). Most hodlers and Ripple (XRP) believers expect this move to be to the upside after XRP/USD breaks the symmetrical triangle. However, it could still break to the downside first before continuing to trade higher. The point is, it would be quite dangerous to enter margin positions in anticipation of a strong move to the upside because the price could break down first. That being said the daily trading conditions point to limited risk of downside.
Ripple (XRP) is also trading strongly against Bitcoin (BTC) and has been in a steady uptrend for the past few weeks. The daily chart for XRP/BTC shows that the price is currently trading under overbought conditions but considering that it has just found support atop a trend line support, there might be some room for a rally towards the top of the symmetrical triangle. That being said, the overbought daily conditions will continue to hinder a strong move to the upside. On the other hand, if XRP/BTC falls below the 200 day moving average it would be disastrous as it could trigger the long anticipated death cross which will see Ripple (XRP) decline aggressively to its true bottom in the weeks ahead.