XRP - Transforming the Payments as we see it today

by: Daniel Cheriyan 03-Feb-2019

XRP is trading 1.3 % in green (0.3125) as of writing. Previously we perused the trend of XRP from long-term chart analysis and understood that even being around 90% down from all-time highs the coin is still way up from where it started trading a just some years back.  Looking at the charts as of now we can see that the price is being supported around the previous resistance (looks like a long resistance turned as support). In fig 1 it shows that the current triangle formation we are in from the all-time highs to the current price is still valid as the price didn't break above and close in daily.

  As we discussed in a previous analysis session the XRP chart analysis indicates that the price was in a bearish channel and now entered and moving around in a consolidation channel. The current bottom 0.3 looks like strong support as this support resistance area is acting as a strong one from some time (05/2017 - to date).

Fig 1

Now stepping a little back and looking at the bigger perspective the chart showcase that the statement we made is correct to a certain extent (about support area, see Fig 2). 

To indicate an uptrend price have to move away from the current consolidation state, the price has to move in a positive direction towards 0.34-0.35 and have a daily close in that range. This can create a short term FOMO as it invalidates the triangle we were in from one year. 

Fig 2

Fig 3

https://ambcrypto.com/xrp-accepted-at-4500-worldwide-online-stores-as-coingate-enables-xrp-payment-option/

Meanwhile, news emerges showing a great upside potential for XRP in the next Bull run and chances of taking over the 1st place in market cap. Increasing adoption of Fintech in the financial sector is widening the knowledge level of practitioners in that area. Now looking into the state of the art technology they are compromising the traditional means of payment for a better tomorrow.

Fig 4

https://dailyhodl.com/2019/02/02/xrp-price-surge-follows-ripples-increasing-stature-in-fintech-crypto-market-analyst/

Another analyst shows a similar pattern in the chart analysis indicating the chances of the uptrend o arise in a much more powerful way from the current point.

Fig 5

Fig 6

As the price is moving near to the 200 days moving average in the daily chart (currently around 0.38), the chances are that price can break above and show much more momentum. With the increase in daily volume to 100 mill or above chances are that we may be able to break away from the consolidation phase and begin a new uptrend.

Finally, I will remind that a financial market is a place where the value is transferred to patient traders ( who waits patiently maybe 1,2,3.. years) from those who are being frustrated and closing their positions. 

Fig 7

Fig 7 shows the market cycles ( the behavior of the financial market over time) speculative trading can bring profits....... but just be informed before you make any trading decision..... Time is money  (patience can turn that into a virtue)

NOTE

This is not investment advice. The information is the perspective of the author itself, supporting documents used for that purpose can be accessed using the links provided.