First up is a hidden bullish divergence . When price makes lower lows and at the same time the RSI makes higher lows, the RSI will win and price will begin to make higher lows which leads to price moving up.
Secondly I've circled instances when the 25MA crosses over the 50MA and each time price has moved up substantially.
When BTC makes strong moves, alts suffer. However, once BTC settles down alts recover and when combined with these two indications XRP is well positioned to move up.
Below the price is substantial support. Had BTC corrected back to the high 8k/low 9k range I would have anticipated XRP to have dropped below those supports and into the $0.32-$0.36 range. The XRP/BTC pairing which took a beating while BTC rose above a key resistance at $12.5k should recover before BTC corrects therefore increasing the likelihood of testing the resistances above vs. dropped below the support. One resistance to watch is the orange downtrend line that makes a perfect symmetrical triangle with the most recent baseline support (both 26 degrees).
Secondly I've circled instances when the 25MA crosses over the 50MA and each time price has moved up substantially.
When BTC makes strong moves, alts suffer. However, once BTC settles down alts recover and when combined with these two indications XRP is well positioned to move up.
Below the price is substantial support. Had BTC corrected back to the high 8k/low 9k range I would have anticipated XRP to have dropped below those supports and into the $0.32-$0.36 range. The XRP/BTC pairing which took a beating while BTC rose above a key resistance at $12.5k should recover before BTC corrects therefore increasing the likelihood of testing the resistances above vs. dropped below the support. One resistance to watch is the orange downtrend line that makes a perfect symmetrical triangle with the most recent baseline support (both 26 degrees).
Comment:
BTC dumped rather than move up to test the 1st peak and in doing so dragged the entire market down with it. XRP really disappointed because the XRP/BTC pairing should have held or even moved to the top of the descending wedge to offset the losses. Instead it dumped hard under the bottom trendline and essentially doubled its losses when compared to BTC.
This doesn't necessarily mean the BTC correction is going to happen but it could continue to drop into the $11.4k support before heading back up to retest the 1st peak. This means the $0.32 XRP support is in play with $0.34-0.35 holding as of this update.
XRP is slowly making up for lost ground but I believe it won't break above the support now turned resistance ~$0.38. I used a partial stoploss and still hold positions so I'm laddering an exit starting at $0.36 to $0.39 and will be doing the same for buys in the $0.32 to $0.35 range. Make lemonade out of lemons because ultimately XRP will be headed back up to retest $0.50 in the short to mid term.
This doesn't necessarily mean the BTC correction is going to happen but it could continue to drop into the $11.4k support before heading back up to retest the 1st peak. This means the $0.32 XRP support is in play with $0.34-0.35 holding as of this update.
XRP is slowly making up for lost ground but I believe it won't break above the support now turned resistance ~$0.38. I used a partial stoploss and still hold positions so I'm laddering an exit starting at $0.36 to $0.39 and will be doing the same for buys in the $0.32 to $0.35 range. Make lemonade out of lemons because ultimately XRP will be headed back up to retest $0.50 in the short to mid term.
Comment:
XRP found support at $0.32 and all my buy limits were filled. Here's where it gets interesting.
XRP is likely to head back up to the $0.36 support now turned resistance. Selling out there breaks even from the $0.39 entry. This is the prudent move and the one I'm taking.
It's important to note that XRP had done really (extremely) well when BTC tanked in 2017. While it'd be a fun gamble, past performance isn't a guarantee of a future one so if XRP decides to suddenly triple in value, maybe I buy the $0.51 breakout. YTD XRP is negative (the only one in the top 10 I believe) and an argument can be made that XRP is long overdue for a pump. However, at this point I'll believe it when I see it. It should have rocketed with the MoneyGram announcement and that netted a loss within 24 hours of being announced. Other than price manipulation, there's no reason for XRP to randomly become the "it" token while BTC is about to tank.
Here endeth the lesson on digging yourself out of a hole.
XRP is likely to head back up to the $0.36 support now turned resistance. Selling out there breaks even from the $0.39 entry. This is the prudent move and the one I'm taking.
It's important to note that XRP had done really (extremely) well when BTC tanked in 2017. While it'd be a fun gamble, past performance isn't a guarantee of a future one so if XRP decides to suddenly triple in value, maybe I buy the $0.51 breakout. YTD XRP is negative (the only one in the top 10 I believe) and an argument can be made that XRP is long overdue for a pump. However, at this point I'll believe it when I see it. It should have rocketed with the MoneyGram announcement and that netted a loss within 24 hours of being announced. Other than price manipulation, there's no reason for XRP to randomly become the "it" token while BTC is about to tank.
Here endeth the lesson on digging yourself out of a hole.
A quick peek at the XRP/BTC chart for reference.