Ripple Price Analysis: XRP lags price action ahead of a 34% launch to $1.44

Published June 2, 2021 | Updated June 2, 2021

In Brief
  • Ripple settles above $1 as consolidation takes root.
  • An ascending triangle pattern suggests that a breakout is around the corner.
ripple
Image Sarah Ray (Medium)

Ripple Price Analysis: XRP lags price action ahead of a 34% launch to $1.44

  • Ripple settles above $1 as consolidation takes root.
  • An ascending triangle pattern suggests that a breakout is around the corner.

Ripple scaled several resistance levels after the drop to $0.8 last week. The upswing coincided with another win bagged by Ripple Lab attorneys against the Securities and Exchange Commission (SEC) in the ongoing lawsuit.

The US SEC was seeking access to Ripple’s communication records when it inquired about the sale of XRP tokens. Judge Sarah ruled to uphold Ripple’s client-attorney privilege, dealing the SEC another blow.

Following the win, Ripple’s price lifted above $1 and brushed shoulders with $1.1. However, the uptrend slowed down, forcing bulls to seek refuge at $1. Meanwhile, XRP has balanced price action at this level, while buyers look forward to a potentially massive breakout.

Ripple eyes extensive upswing on breaking key technical resistance

The international money transfer token is dancing within the confines of an ascending triangle. This popular and highly bullish technical pattern often forms within an uptrend. However, the pattern has a bullish impulse even when it appears amidst a downtrend.’

As the two trend lines converge, the consolidation nears an end. On the other hand, the ascending lows insinuate that bulls are getting stronger. A break occurs before the lines meet and is characterized by an uptick in trading volume. Triangles have clear breakout measured from the highest to the lowest points. For example, Ripple could swing 34%b higher to trade around $1.44 if the pattern on the chart matures as expected.

XRP/USD four-hour chart

XRP/USD price chart
XRP/USD price chart by Tradingview

The sluggish price action is punctuated by the Relative Strength Index (RSI) and will likely last longer. Similarly, the Moving Average Convergence Divergence (MACD) indicator does not have a defined signal; thus, bullish and bearish forces seem to cancel out, explaining the consolidation at $1.

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Ripple intraday levels

Spot rate: $1

Trend: Sideways

Volatility: Low

Support: $0.9 and $0.8

Resistance: $1.1 and $1.2

Disclaimer
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
About Author
John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige

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John Isige 994 Articles
John is a talented writer with over two years of experience actively contributing to the cryptocurrency industry by providing credible, interesting and easy to read the content. His main focus is on cryptocurrency price analysis and industry news coverage. Lets follow him on Twitter at @jjisige
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