The third largest cryptocurrency in the world, XRP, is coiling up for a launch into the stratosphere. The falling wedge setup, seen in the chart below, signals a bullish breakout for XRP in the near term.
Houston, we have lift-off
The Falling Wedge formation is a bullish pattern accompanied by a reduction in volume, which is apparent as seen in the chart above. Typically, the largest part of the wedge will be the total length of the breakout. Factoring in the same, the breakout for XRP, whenever it occurs, will push the price of XRP from $0.37 – $0.38 to a minimum of $0.45 – $0.46.
The Relative Strength Index also showed a similar downtrend, which further confirms the bullish nature of the rising wedge pattern.
Higher Time Frame
The daily timeframe for XRP showed the formation of a double top. However, the pattern will ONLY be confirmed when the price dips below the neckline. Further, the Relative Strength Index shows a declining resistance that is preventing buyers from rising higher.
However, there might be conflicting ideas when it comes to the completion of the double top formation, due to the pattern formed over the shorter timeframe. Hence, the double top formation might have a higher chance of not being confirmed.
The likelihood of the confirmation of double top is very slim unless Bitcoin forms something similar or BTC prices dip massively. However, the probability of a breakout of the rising wedge pattern seems high. If and when it breaks out, the price of XRP will slingshot to $0.4512.
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Top Losers: Ethereum, XRP, and EOS bleed as crypto-market follows Bitcoin’s lead
The cryptocurrency market has been enjoying an unprecedented bull run over the past few months, a trend that reached its apex when Bitcoin briefly touched the $13,000 mark on Binance. However, on June 27, the market witnessed a trend reversal, with the bears returning to the world of digital assets.
Apart from Bitcoin’s price dropping by over 5% in an hour, popular altcoins like Ethereum, XRP and EOS also suffered a hit in value, with the bears ravaging all coins in the top ten cryptocurrencies club.
At the time of writing, Ethereum had fallen from $331.39 to $321.52 within an hour. This whopping 9.87 percent drop contributed to its market cap settling at $34.35 billion. The second largest cryptocurrency held a 24-hour trading volume of $106.66 million, a decent amount when compared to its figures during the bear market.
A majority of the volume was held by DOBI Exchange, a popular cryptocurrency exchange which controlled $636.38 million of all ETH trade. DOBI was followed by Huobi Global, with a 3.3 percent hold on all Ethereum transaction volumes.
The next altcoin to be affected by the sudden bear market was XRP, which fell by 6.67 percent in the hourly cycle. At press time, XRP was trading at $0.42, a far cry from the $0.47 it was trading at 24 hours ago. The cryptocurrency had a market cap of $18.22 billion and a 24-hour trading volume of $3.27 billion. BW.com, a relatively unknown cryptocurrency platform, controlled a majority of XRP trade with $232.13 million in ETH trading volume.
EOS was the third most affected by the bears’ attack, as the cryptocurrency fell by 3.41 percent in 50 minutes. EOS was trading at $6.446, with a market cap of $5.97 billion. The $5.29 billion trading volume was majorly split between LBank and Huobi Global, both of which recorded 9.48 percent and 5.75 percent in EOS trading volume, respectively.
The sudden market crash was speculated to be a major correction of prices after a sustained period of bullish rise by the coins. This fall coincided with predictions made by popular analysts and traders who had previously claimed that Bitcoin and the rest of the market will go through more bear runs, before they reach their all-time highs.
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