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Price Analysis

Ripple “Pressure Cooker” Ready to Explode, XRP/USD Bulls Angling for $3

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Ripple price prediction cryptotelegram

In the Ripple corner, price action is unfolding slowly but neatly.

It may have all been chaos in the tail end of 2020 when the U.S. SEC shocked the crypto world. They claimed that Ripple Labs—the issuer of XRP—and some of its executives, including Bradley Garlinghouse, the CEO, had illegally sold investment contracts.

Ripple Market Status and Performance

This alone was enough to force massive liquidation, which wiped out gains of Q4 2020, forcing back prices to $0.16. The draw-down, coming amid a market-wide expansion, was an isolated case.

As a result of this fall, the XRP market cap suffered, forcing the token back to seventh.

However, the tide is beginning to change.

Ripple bulls are optimistic. It turns out that the outgoing chair of the SEC had hurriedly knitted a case that didn’t hold water.

A series of favorable rulings by the U.S Judge Sarah Netburn appears to be exposing the SEC, tilting the case in favor of Ripple and XRP.

Undoubtedly, a win for the blockchain company will thrust its valuation to new levels. It is why, despite the tribalism in the crypto world, the community is rooting for XRP.

Therefore, a combination of positive fundamentals and the second rise of the crypto market is building up positively for XRP.

At the time of writing, XRP is back to sixth, flipping Dogecoin and inches away from USDT—a stablecoin. It is up 58 percent against the greenback week-to-date but steady of the last trading day.

From the daily chart, there are even more bullish juices.

Ripple Price Daily Chart for Aug 16

For instance, XRP/USDT is trading within a bullish breakout pattern, clearing January 2021 highs and the stubborn $1—a psychological round number.

In combination with a positively slanting middle BB, a bullish breakout pattern above key liquidation levels, and a noticeable uptick in trading volumes complete with fundamental supports, the path of least resistance is northwards at the time of writing.

A cup-and-handle Formation, “Fun Times” ahead for Ripple Buyers Targeting $3.2

This explains why most traders are hopeful of what lies ahead. A trader on Twitter picked out a cup-and-handle formation from price action in the daily chart.

He posed a question asking the trading community if they were comfortable with the pattern.

Based on the technical candlestick arrangement, the odds of XRP prices even printing higher above H1 2021 highs to their all-time highs of over $3 remain high.

Already, there has been a follow-through. The breakout above $1 and $0.85 was enough impetus to reinject momentum, driving XRP prices to new territories.

On the same platform, another trader says XRP prices closed above $1 this week.

Accordingly, there is little reason for XRP not to reclaim its all-time highs.

The XRP/BTC “Pressure Cooker” Ready to Explode

Referring to the XRP/BTC weekly chart, one trader on Trading View thinks that the Ripple “pressure cooker” is about to explode.

Ripple Bitcoin

There are several technical reasons behind the analyst’s optimism. One, there is a bullish engulfing pattern confirming the entry of buyers. Second, there is a buy signal of the stochastic bottoming up from the oversold territory.

Putting them both in the same picture points to a possible continuation of XRP bulls as we advance.

Charts courtesy of Trading View

Disclosure: Opinion is that of the author. Do your own research.

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Passionate about Blockchain, Crypto, Blockchain, and Bitcoin. Excited of what lies ahead. Advocating adoption. HODLer!

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