Ripple is stuck at 30-31 cents territory. Is a big move close? The following Ripple technical analysis is based on the Elliott wave theory.
August 08, 2019 | AtoZ Markets – After dropping to 28 cents in mid-July, Ripple has gone sideways up to the current time. It’s easy to say that Ripple is the worst performer so far among the top 10 cryptos. It now looks very likely that the 3rd largest cryptocurrency based on the market cap will drop to its 2018 low. No sign of recovery so far.
Before the 2018 bearish trend started, Ripple was set to compete vigorously with Bitcoin. Being the highest gainer during the 2017 boom and coming very close to equaling Bitcoin’s market capitalization at some point, it’s a very disappointing year for Ripple HODLers. The 2019 crypto market recovery started in December 2018 before the current bearish correction followed in late June. Most of the top coins still hold a significant percentage of the 2019 gains, unlike Ripple which is almost at a net loss since December 2018.
As if all these are not enough, the bearish pattern emerging on the XRPUSD chart signals further price dips. Price is eyeing the 24-25 cents support zone with a sideway triangle pattern. The pattern is bearish and once a break below happens, the support zone might not be able to hold further.
Ripple price prediction: Elliott wave analysis
From the long term perspective, the daily chart below shows the bears are on a rampage. One more bearish leg could see XRP at 25 cents or even 12 cents in a worse scenario.
Price is very close to vital support zones that could make or break the bulls. A bearish flag pattern from 79.5 cents forming inside an emerging wedge pattern is a very bearish scenario. The current push just above the support level is emerging as the second leg of an emerging zigzag pattern from 52 cents. We looked at this in the last update with the chart below.
The rally was expected to complete a retest of the 37-38 cents resistance zone before the price continues downside. However, a triangle pattern is emerging instead as the chart below shows.
The triangle pattern is emerging between the 37-38 cents resistance zone and the 24-25 cents support zone. If the triangle is broken to the downside, 25 cents is expected to be hit. A less likely bullish break will see the minor correction retesting 37-38 cents.