Calm Before the Storm for XRP? Price Looking to Resume Rally Above $1.6 (Ripple Price Analysis)
Ripples recent price action reflects a state of indecision following a rejection at the $1.6 resistance level. The market is currently undergoing a low-volatility consolidation phase, signaling a potential continuation of the corrective stage in the short term.
XRP Price Analysis
By Shayan
The Daily Chart
XRPs impulsive uptrend broke several critical resistance levels, culminating in a significant rally toward the $1.6 resistance zone.
This level marked a peak in bullish momentum, leading to a rejection and subsequent consolidation. The price has since retraced toward the previously broken $1.3 threshold, a key support level, reflecting the buyers efforts to sustain the bullish trend.
However, the market is currently in a phase of indecision, characterized by low-volatility fluctuations. The RSI indicator also highlights an overbought condition, further supporting the likelihood of a continuation in the consolidation stage. This phase is expected to persist in the short term, with an eventual breakout needed to define the next direction.
The 4-Hour Chart
On the 4-hour timeframe, XRPs price action still maintains a bullish structure, marked by a sequence of higher highs and higher lows. The formation of an expanding wedge pattern reflects the buyers dominance up to the $1.6 resistance region, where the price experienced a rejection.
This has led to the emergence of a bullish flag pattern, suggesting the potential for a continuation of the prior uptrend if the price breaks above its upper boundary.
With the cryptocurrency now approaching the critical support level at $1.3, the consolidation stage could end in the mid-term. A breakout above the flag could result in XRP retesting the $1.6 threshold, with further gains likely if the resistance is overcome.
The post Calm Before the Storm for XRP? Price Looking to Resume Rally Above $1.6 (Ripple Price Analysis) appeared first on CryptoPotato.
Text source: CryptoPotato
