XRPUSD
O.k., first, let me tell you that I’m fully aware of the news, and I know that many expects XRP to go to cero and maybe be completely destroyed by the SEC on it’s coming lawsuit. And to be delisted everywhere.
Now with that said, it is not being delisted yet, just trading suspension, the first hearing is on February 22, 2021, and there is a possibility that they will settled before that day. Just like it happened with EOS in 2019. Just a fine and it continues like nothing happens. Could be grown but that is what I’m expecting.
In Elliott Wave Terms, we had a mayor bottom on March 13, 2020, probably The Bottom of a 3 Year Bear Market, and from there we started on new Bull Market with a 5-wave move that I call Intermediate Wave 1, as seen on the chart. From about $0.11 USD to about $0.80 USD. That move has a form of a Leading Diagonal Pattern:
ewminteractive.com/r...ing-diagonal-pattern
After that we had a 2-wave move that I call Intermediate Wave 2, from about $0.80 USD to about $0.17 USD. There is no guarantied that it is yet finished, but it declined to a key area, $0.17 USD, previous support, and bounce hard from there. It declined about 90% of the previous move, deep retracements are common after Leading Diagonal Patterns occur. Now, it didn’t need to go that low, but certainly the news affected it in a big way. The decline was in the form of a Double Three Pattern:
elliottwave-forecast...elliott-wave-theory/
And now it seems like Intermediate Wave 3 has started from the lows of about $0.17 USD. It should take several weeks to complete, maybe until the end of February or so, will see, and it should rise above $0.80 USD, the previous high.
Also, RSI indicator is deeply oversold, and volume has been crazy high lately.
The trade will be to get in now with a stop at $0.1650 USD, just a little below yesterday lows. Not a recommendation.
I hope you find this interesting and good luck to you.
Trade active:
We raised the stop to $0.2670 USD, above the entry price, now it is a cero risk trade with at least a 23% return guaranteed if we get stopped out.
