XRP Trading scenario
Updated
Hello everyone,
During the last month, we have witnessed a great period of uncertainty with the Bitcoin Hardfork/Softfork. Everything is not yet resolved but the market seems to get back on its feet. I took profit of this time to increase my knowledge on charting and to setup my indicators tools. And today, I present you my first chart on tradingview for XRP/BTC.
I would like to start by thanking several script publishers that helped me a lot to understand better the world of tradingview’s Pine script: LazyBear, ChrisMoody, xSilas, Ni6HTH4wK, SeaSide420, MasaNakamura and CollinCrypto.
Now let’s get back to the matter at hand: Ripple (XRP)
After one bullish month (from april to mid May 2017), XRP/BTC experienced a 10x growth from 2500 to its All Time High just above 25000. After this ATH, a due correction took place. Today, XRP coins trade around 6300 which correspond to a retracement of nearly 75%. With the end of the BTC fork and with the current setup of XRP/BTC, great opportunities seem to come soon.
As you can see on the chart, XRP/BTC is on a descending wedge (in black on the chart) which is a bullish pattern because it tends to break upward. Moreover, XRP bounce on two strong resistances: the uptrend line in purple and the dashed black line which is the 0.236 Fib resistance.
On the indicators side, the mix of OBV, ADX/DMI, RSI, Volume Zone and MacD with custom parameters gave strong buy signals (Green B letter on the chart) when XRP BTC was between 5500 and 6000. Buying a 6300 is still good.
Therefore, if XRP/BTC price breaks the descending wedge, we could see the beginning of a good up movement. Then XRP could start rising to 10000 in order to hit a first resistance. If it breaks it, next resistance could be around 12500 and then 14000-15000.
In conclusion, It may be a good time to load some cheap XRP before a movement up: buy when the price breaks the descending wedge is a safe option, but buying when the price come back to the purple line around 5800 (if the wedge don't break now) is also a good option.
During the last month, we have witnessed a great period of uncertainty with the Bitcoin Hardfork/Softfork. Everything is not yet resolved but the market seems to get back on its feet. I took profit of this time to increase my knowledge on charting and to setup my indicators tools. And today, I present you my first chart on tradingview for XRP/BTC.
I would like to start by thanking several script publishers that helped me a lot to understand better the world of tradingview’s Pine script: LazyBear, ChrisMoody, xSilas, Ni6HTH4wK, SeaSide420, MasaNakamura and CollinCrypto.
Now let’s get back to the matter at hand: Ripple (XRP)
After one bullish month (from april to mid May 2017), XRP/BTC experienced a 10x growth from 2500 to its All Time High just above 25000. After this ATH, a due correction took place. Today, XRP coins trade around 6300 which correspond to a retracement of nearly 75%. With the end of the BTC fork and with the current setup of XRP/BTC, great opportunities seem to come soon.
As you can see on the chart, XRP/BTC is on a descending wedge (in black on the chart) which is a bullish pattern because it tends to break upward. Moreover, XRP bounce on two strong resistances: the uptrend line in purple and the dashed black line which is the 0.236 Fib resistance.
On the indicators side, the mix of OBV, ADX/DMI, RSI, Volume Zone and MacD with custom parameters gave strong buy signals (Green B letter on the chart) when XRP BTC was between 5500 and 6000. Buying a 6300 is still good.
Therefore, if XRP/BTC price breaks the descending wedge, we could see the beginning of a good up movement. Then XRP could start rising to 10000 in order to hit a first resistance. If it breaks it, next resistance could be around 12500 and then 14000-15000.
In conclusion, It may be a good time to load some cheap XRP before a movement up: buy when the price breaks the descending wedge is a safe option, but buying when the price come back to the purple line around 5800 (if the wedge don't break now) is also a good option.
Note
Due to the Break of BTC 3000$ All Time High on the 5th of August, the purple and the 0.236 Fib supports didn't hold. But we are still inside the descending black wedge which is good. The price felt at 5100 and bounced on the lower black line of the wedge.
This pattern should resolve before August 18th and we will see if it breaks upward or downward. In the case of a downward mouvement, we may revisit the 4200-4300 previous resistance level which should have transformed into a support now. If this support doesn't hold, we will fall to the 2700-3000 support level which should be quite strong.
In the scenario of a upward mouvement XRP/BTC could start rising to 10000 in order to hit a first resistance. If it breaks it, next resistance could be around 12500 and then 14000-15000.
On a shorter time, by looking on the indicator, we should have today some small down mouvements before going back up and test the upper black line of the wedge.
Note
I updated a little my longterm upward mouvement trend line (purple) in order to be more precise.
As the indicators show, we should have now some upward or sideway mouvements in order to test the top of the descending wedge.
We will see if the wedge breaks or not.
Note
Here We go!Now the 4H and 1D bar have to close above the wedge to confirm the breakup.
0.236 Fib resistance around 5900-6000 will try to get XRP back onto the wedge.
Note
As you can see on this updated charts with more accurate line, price bounced yesterday on the top of the triangle.
According to MACD, Xrp will now going down a bit before making a new attemp for the break.
Note
With this btc Bull run, xrp nicely touch the bottom of the channel and bounced. We may see soon a retest of the bottom of the channel
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