The bearish movements which took place across the market yesterday resulted in Ripple’s XRP breaking down from the descending triangle pattern it had been forming and dropping below two key levels.
Despite this bearish drop, XRP managed to outperform Ethereum and claim the position of the largest altcoin by market cap.
The CTO of Ripple – David Schwartz – noted in a tweet yesterday the relationship between xRapid transactions and exchange between XRP and fiat.
xRapid is the service provided by Ripple which requires the use of XRP and with increasing adoption as of recent; this may be playing a role in the outperformance of XRP.
Every xRapid payment that succeeds involves a sale of fiat for XRP and then a purchase of fiat with XRP on one of the crypto exchanges that partners with us.
— David Schwartz (@JoelKatz) January 10, 2019
A descending triangle pattern is a bearish trend continuation pattern which had been forming in XRP since late December.
The bearish drop in XRP resulted in it dropping below the lower support line of this triangle and continuing to break below expected support around $0.335.
$0.335 was a former area of liquidity on drops but failed to hold up during yesterdays bearish price action.
Price did meet support initially at $0.335 but failed to hold on the retest as seen on the above hourly chart.
Price has since started to move back up towards $0.335 and has already tested the level once.
Traders may be looking to take short positions at this point or may be holding out for higher levels to see if the price can rise back up to $0.35.
- XRP outperformed Ethereum during yesterdays bearish drop and reclaimed the position of being the largest altcoin by market cap.
- Yesterday’s bearish drop resulted in XRP dropping below two key levels – $0.35 and $0.335.
- Price has since started rising back up to test $0.335.
Ripple (XRP/USD) forecast and analysis on July 17, 2019
Cryptocurrency Ripple (XRP/USD) is trading at 0.3162. Cryptocurrency quotes are trading below the moving average with a period of 55. This indicates a bearish trend on Ripple. At the moment, cryptocurrency quotes are moving near the middle border of the Bollinger Bands indicator.
Ripple (XRP/USD) forecast and analysis on July 17, 2019
As part of the forecast Ripple course is expected to test the level of 0.3270. Where should we expect an attempt to continue the fall of XRP/USD and the further development of the downward trend. The purpose of this movement is the area near the level of 0.2620. The conservative area for Ripple sales is located near the upper border of the Bollinger Bands indicator at 0.3450.
Cancellation of the option to continue the decline in the Ripple rate will be a breakdown of the upper border of the Bollinger Bands indicator bands. As well as the moving average with a period of 55 and the closing of quotations of the pair above the 0.3620 area. This will indicate a change in the current trend in favor of the bullish for XRP/USD. In case of a breakdown of the lower border of the Bollinger Bands indicator bands, one should expect an acceleration of the fall of the cryptocurrency.
Ripple (XRP/USD) forecast and analysis on July 17, 2019 implies a test level of 0.3270. Further, it is expected to continue falling to the area below the level of 0.2620. The conservative area for selling Ripple is located area of 0.3450. Canceling the option of falling cryptocurrency will be a breakdown of the level of 0.3620. In this case, we should expect continued growth.
Ripple price analysis: XRP/USD defends falling wedge support; breakout still lingers
- The bear pressure further pushed Ripple below $0.29 before forming lower support at $0.28.
- “I agree that crypto isn’t likely to replace fiat currencies,” Garlinghouse.
Ripple continued to press against key support areas yesterday. The downside momentum was augmented by the broad-based selling pressure in the market. As discussed yesterday, the upside was capped at $0.32 while XRP/USD sustained above $0.30. However, the bear pressure further pushed Ripple below $0.29 before forming lower support at $0.28.
The debate surrounding Facebook’s Libra project has seen the CEO of Ripple Brad Garlinghouse advise the crypto industry to work hand in hand with regulators to guarantee success. In a series of tweets, Garlinghouse said that it unlikely that crypto will take the place of fiat currencies in the financial economy.
“I agree that crypto isn’t likely to replace fiat currencies – I have been very vocal that crypto isn’t likely to disrupt the US dollar and other G20 currencies in my lifetime,” he wrote.
Meanwhile, XRP has recovered stepping above $0.3 as the bull’s push towards the falling wedge pattern breakout. Although movement north is still hampered by the selling pressure, XRP/USD has a positive technical picture as seen on the 2-h chart.
Also Read: Cryptocurrencies are not substitutes for fiat currencies – Brad Garlinghouse
The Relative Strength Index (RSI) is currently horizontal at 46 following a recovery from the levels at 30. At the same time, the Moving Average Convergence Divergence (MACD) is stuck in the negative side but moving sideways at -0.004 in addition to having an inclination to the upside.
BTC/USD 2-h chart source
Has #XRPArmy Turned Against Ripple? Not Really
XRP’s recent drop below the $0.30 level was a major test for Ripple’s Twitter army, but they won’t abjure their allegiance
Tiffany Hayden, one of the most vocal members of the XRP army, has been suspected of becoming a non-believer after questioning the strength of the Ripple network.
That conveniently coincided with the XRP price nose-diving below the $0.30 mark due to the continuous market sell-off.
Everyone who keeps tabs on crypto Twitter has hardly seen any negative comments about Ripple posted by Hayden. However, she recently assumed that the network wouldn’t last much longer if Ripple shuttered that night.
There were legitimate reasons to believe that this might be the case given the painful experience of Stellar, which is considered to be Ripple’s direct competitor.
However, despite these concerns, Hayden made it absolutely clear she hasn’t lost her faith in XRP, claiming that she would rather sell a kidney than her bags of Ripple’s native token.
She later clarified that the kidney wouldn’t be her own (hopefully, she was joking).
Notably, Ripple’s XRP turned out to be one of the best-performing currencies during the recent sell-off, clinging onto the $0.30 price tag.
Image by CoinMarketCap
Still, its underwhelming overall performance in 2019 made many XRP investors reconsider their loyalty.