Ripple remains in a very doubtful situation for the Bulls as market volatility went all silent. How could XRP perform in the 2nd half of September ahead of 2019 Q4?
September 13, 2019 | AtoZ Markets - The second week of September is about to end and Ripple continues to sit among the bears with definitely no rooms for a bullish safety, at least for now. Ripple is the third-largest crypto based on market capitalization yet the worst performer among the top cryptos in 2019 so far.
Ripple is in a very critical situation both from fundamental and technical outlook. The kind of pictures the technicals are painting are damning. In late August, it slumped to 24.5 cents to mark its lowest since December 2017 bullish breakout. The entire market has been in a bearish situation since late June after a very impressive first half of the year but Ripple's situation is much worse.
Ripple partners couldn't save it
In the first and second quarters of 2019, Ripple gained a lot of traction in the crypto sphere. With the reports of global partnership deals with money transfer giants like Moneygram, American Express, Swift and many international banks using its xRapid, Ripple was meant to be among the top gainers. During the Q2 of 2019, the company reported that it sold $251.5 million of XRP which was 48% more than its sales report in the first quarter. However, late reports of 'dumping' are major concerns to investors. Top XRP holders and founders were accused of selling or transferring out bulks of Ripple tokens in the last 12 months. Jed McCaleb one of the co-founders who is no longer with Ripple reportedly sells 500,000 XRP tokens daily since January 2019. All these together with the current bearish nature of the Crypto might keep new investors away despite the increase in partnership sales.
Ripple technical analysis: will XRP recover?
Even if we ignore the fundamental factors, Ripple does not look technically good. Although the bulls are holding above the 23-24.5 cents support zone, the price is only going sideways instead of a big bounce. It's clear that there is no bullish momentum. Once the price breaks below the support zone, it is expected to drop deeper. Meanwhile, a minor bounce to 34-37 cents could happen but XRP will have to break above the 26.7 cents resistance level to stand a chance.
Ripple analysis: important price levels
Resistance levels: 28 cents, 29 cents, 34 cents and 37 cents. The XRP price will have to break above the intraday resistance level at 26.7 cents.
Support levels: 23-24.5 support zone. A breach below this zone could cause a thrust to 20 cents or even 12 cents
Ripple price prediction: Elliott wave analysis
In the last update, we expected a 3-wave bullish correction toward 34 cents or 37 cents if XRP breaks above 26.7 cents as the chart below shows.
Since the last update, Ripple has gone sideways not nearing 26.7 cents and not breaking below 24.75 cents. This scenario is still valid. Meanwhile, from another perspective, a bearish triangle is emerging from the 29.5 cents high as the new chart below shows.
If XRP price breaks below the support zone, it is expected to continue downside to at least 20 cents and if deeper, 12 cents.