Hi friends! Let's take a look at Ripple. Here on the four hour chart, we can see that XRP remains in a downtrend channel. It has tried three times, to rally out of the topside of the channel, but has failed each time at the overhead (Resistance.) Looking at the overall structure of XRP, you can clearly see that it's forming a head and shoulders-type pattern. I would like to draw your attention to the 50 EMA (in orange.) You can see that from the left side of the chart, XRP was never below it. Then, XRP broke below it, and hasn't been able to get back above. At this point in the analysis (given the current condition of the crypto market) we have to assume the worst case scenario, until bullish evidence materializes. Assuming that this is a massive head and shoulders pattern, I would expect the breakdown to be severe. Support lies at the black trendline, which is the "neckline" of the head and shoulders pattern. The 200 EMA (in purple,) is rising into the same area, increasing the validity of the support. Should a breakdown occur, it would likely take out the black trendline and the 200 EMA simultaneously. Below that, the next support level would be at the 61.8% retrace around $1.40. However, given the broad weakness of the crypto markets, it appears as though a major selloff is imminent. Such an event could easily send XRP under $1.00, which isn't far fetched, considering the fact that it was under $1.00, just seventeen days ago. On the bull side, there was a bullish crossover on the MACD (green circle,) which occurred on high volume. It's a nice thing to see, but until price action breaks above the falling parallel channel, it isn't very significant. Please like, comment, follow, and share on social media. Later people.
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-JD-
***This information is not a recommendation to buy or sell. It is to be used for educational purposes only.***
-JD-