Ripple gained about 10% in 24 hours to hit $0.31. Since the fast rally, there has been a price dip below $0.31. What next. The following give technical insights based on Elliott wave theory.
February 11, 2019 | AtoZ Markets - Cryptocurrencies surged on Friday, 8th February, to hit their highest prices this month. The market took a brief break from the sell-offs that have seen prices plummeted for more than a year. This month also started bearish after a mixed January. The recent rally could mean that this month would be better for the cryptos than last month. Bitcoin, Ripple, Ethereum etc, have all gained significantly since Friday. Will this rally continue?
Prior to the current rally, there were clear technical indications that prices would surge soon. There were bullish patterns printed on the charts of Bitcoin, Ripple and other majors. We identified a wedge/diagonal pattern on Bitcoin completing a zigzag pattern from 4228. Price spent two days moving sideways but never dropped to a new low. It did eventually break upside on Friday as expected and the flagship cryptocurrency gained 11% quickly to hit $3,700 from $3,350. Ethereum moved in a similar manner, after gaining 22% to hit $128 from $105. Bitcoin Cash gained 16% and Litecoin was among the highest gainers with +47% in about 12 hours.
Just like Bitcoin, we also studied the chart of Ripple and a bullish pattern was spotted. Combined, Bitcoin and Ripple have a 62% dominance of the entire market. If these have bullish signals, the entire market would definitely follow. Meanwhile, the entire crypto market is currently at $122 billion after it stayed at $113 billion for the best part of the last two weeks. The technical forecast below looks at Ripple.
Ripple Price Prediction and Important Price Levels
On Friday, minutes before the bullish breakout, the chart below was used to indicate an imminent upside move.
The bearish correction that followed 0.2854-to-0.3427 impulse wave, had just ended at 0.2909. Price quickly hit $0.3 but more was expected once price broke above 0.3065 intraday resistance. A 5-wave rally was expected to happen above 0.3427 to stage the biggest recovery since October 2018. Price did break upside and the chart below shows the new update from Elliott wave perspective.
As the chart above shows, price quickly rallied to 0.326. Afterwards, there has been a retracement dip to 0.3033. A break above the falling trendline (in red) could see this bullish resurgence continue to 0.40 in the coming days/weeks. A dip below 0.29 could lead to further dips.
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