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Could Ripple (XRP) Finally Break Out Of The Yearlong Symmetrical Triangle?

 
Could Ripple (XRP) Finally Break Out Of The Yearlong Symmetrical Triangle?
Breaking News / Analytics / Ripple

Ripple (XRP) has been trading inside a long symmetrical triangle that extends all the way to early 2018. RSI on the daily time frame shows that the price is ready for a strong move to the upside that might lead to XRP/USD retesting the trend line resistance if not breaking past it. A lot of investors and analysts also have their eyes on the golden cross that could come to fruition as the 50 day moving average cross above the 200 day moving average. So far the probability of a golden cross remains low but if BTC/USD continues to trade sideways, we might see altcoins rally in the meanwhile. The price of Ripple (XRP) has been trading sideways for the most part since the beginning of the year.


XRP/USD started to decline in December, 2018 and found a temporary bottom around the end of January, 2019. After that, it has been trading sideways for the most part without consequence. Ripple (XRP) did try to rally towards the trend line resistance before but was stopped at the 200 day EMA and had to retrace back to the 50 day EMA. Currently, it is trading close to the 50 day EMA and might end up making a run towards the 200 day EMA again. As long as Bitcoin (BTC) continues to trade sideways, altcoins are not expected to do anything of consequence. XRP/USD still has plenty of room to trade within this triangle till June. The price could continue to trade sideways in the same manner that it has since February.


The daily chart for XRPUSDShorts shows that the number of margined shorts has now declined sharply after facing a strong rejection at the 200 day EMA. XRPUSDShorts is down more than 12% for the day but we could still see it closing the day above the 50 day EMA. The RSI was close to the overbought territory and is now trying to revert to mean. The Stochastic RSI also points to bearish continuation in the days ahead. The number of margined shorts for XRP/USD has declined significantly but we are yet to see its effect on the price of Ripple (XRP). It seems that most of the bullish interest that we used to see in Ripple (XRP) between 2017 and 2019 is finally lost.


As is the norm in this industry, investors look for the next hottest investment. Ripple (XRP) saw a lot of hype and bullish interest at its peak when it was the only project of its kind. It may still be the only project of its kind but now there are other alternatives like Stellar (XLM) and Chainlink (LINK). Projects like these as well as those that are in development are likely to reduce Ripple (XRP)’s dominance and monopoly in its space. Considering that most cryptocurrency investors see the banks as their enemy, it is no surprise to see that projects like Stellar (XLM) that empower end users and cut out the middlemen have a better chance of succeeding long term.

 

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