Ripple (XRP) Likely To Trigger The Final Bull Run Before The Next Correction

Ripple (XRP) seems to be in a better position than most cryptocurrencies to trigger the next bull run. The 4H chart for XRP/USD shows that the price is ready to shoot out of the symmetrical triangle anytime now. We expect this breakout to happen before the end of the week which could see Ripple (XRP) shoot up towards $0.50 in no time. This breakout is likely to lift up the rest of the altcoin market with it. The market opened in the green today after days of sideways trading. This could mean that we might see a continuation of bullish momentum throughout the remainder of this week. In that case, we might see XRP/USD trigger a golden cross when the 50 day moving average crosses above the 200 day moving average.

If Ripple (XRP) succeeds in pulling off a golden cross we might see its price shoot up past $0.50 in a short time. Such a rally in XRP/USD has the potential to last for longer than the rally in other altcoins because the weekly conditions for XRP/USD are significantly different than the others. Ripple (XRP) has ample room for a run up on the weekly time frame but most other altcoins do not. Ripple (XRP) is also better positioned for a breakout compared to other cryptocurrencies as the price is about to exit a symmetrical triangle that the price has been trading in since August, 2018. This break out coupled with the golden cross could see Ripple (XRP) capitalize the most on the upcoming bull run before the next correction kicks in.

Ripple (XRP) does seem to be a lucrative investment from a trading standpoint but if we look at it from an investment standpoint, recent developments have increased its risk/reward. Ripple (XRP) used to be the cryptocurrency that the banks were supposed to use for cross border payments. Many big banks have already partnered up with Ripple (XRP) and some are using its XRP token to settle cross border transactions. However, we have seen major banks like JP Morgan focus on their own technology. Recently, JP Morgan announced its JPM Coin to be used for cross border payments. If more banks start to use their own cryptocurrencies, Ripple (XRP) would have no use case.

Apart from that, we also have the matter of Ripple (XRP)’s legal status that still remains unresolved. While cryptocurrencies like Bitcoin (BTC), Ethereum (ETH) and Litecoin (LTC) are networks which are owned by the people and used by the people for exchange of value, the same cannot be said of XRP which is owned largely by Ripple (the company). Those factors are more likely to affect the price of Ripple (XRP) long term but for now, we are seeing positive momentum building up as the sell pressure subsides. The number of margined shorts for Ripple (XRP) is in a steady decline as shown by the daily chart for XRPUSDShorts. We expect the shorts to continue to decline while Ripple (XRP) prepares for its next big move in the days ahead.