Will This Pattern Crash XRP or Is It A Bullish Revival Set For 2023?

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Published 2 hours ago by
Brian Bollinger For the second half 2022, the XRP market has displayed a head-and-shoulder pattern. This is often interpreted as a bearish signal indicating a possible decline in price. This is when buyers are unable push the price higher after reaching a level of support known as the neckline. This can lead to a downward trend. However, a bullish indication hints at a bounce back in 2023.advertisementKey points: A head and shoulder pattern govers the XRP price action
This bearish pattern will be weakened if there is a bullish breakout at $0.4.
The intraday trading volume at the XRP price was $372.1 million. This indicates a loss of 50%.
Source: TradingviewDespite the bullish recovery reaching the highs of the 50 day EMA, the XRP price takes a bearish turn and creates a bearish pattern in the long-term. The December market value for the refill token plunged 16.5% and trades just slightly below $0.35. The long-term price trend shows a head-shoulder pattern in the daily chart, with the neckline at $0.31–0.3. The neckline acts as a strong support level during consolidation between June and October, giving it credibility. Trending Stories Attorney suggests that this continues the falling trend of bearish-aligned EMAs. The market value could soon fall below the neckline, indicating a bearish entry point.
In such a scenario, XRP investors could see a further decline in the market price, potentially dropping 37% to $0.18.
However, if new investors are coming to ripple, a reversal above and below the $0.40 mark will end the bearish hypothesis. A double bottom pattern can be seen within the right shoulder of a bearish pattern to support the bullish reverse.
A double bottom breakout could revive the XRP buying frenzy, considering that the bulls will gain momentum in 2023.
Technical IndicatorEMA – Undermining the recovery in November/December, the daily EMAs 20, 50, 100 and 200 continue to show a negative trend displaying a bearish phase of action. Relative strength indicator: The RSI slope shows a decline from the midline, but the bullish divergence of the double bottom pattern keeps the hope alive for XRP buyers. advertisementXRP intraday price levelsSpot price: $0.344
Trend: Bearish
High Volatility
Resistance level: $0.373 and $0.41
Support level: $0.31 and 0.26
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The content presented may contain the author’s personal opinion and is subject to market conditions. Before investing in cryptocurrency, do your market research. Close Story