I showed you recently how to trade the breakout bullets of Falling Wedges on XLM,
which has chained several in 2018 and 2019: see related idea below.
To better identify these Falling Wedge produced over a long time, we must go to logarithmic scale.
So, on my present tracing, you can see that of XRP in 2018 (including a smaller internal Falling Wedge in white dotted lines), which resulted in some interesting Pump!
But beware! We are not at all today in this case!
It is clearly this year a Descending Triangle.
Its appearance resembles that of Falling Wedge, while its outcome is usually totally opposite.
Indeed, Falling Wedge is a figure of inversion of tendency: the exit is done by the top.
While Descending Triangle is a figure of continuity: the exit is from the bottom!
My target is clearly Bearish in the short term on XRP, calculated as usual by amplitude shift on my plot.
This analysis is also supported by the Bull Trap risk in progress on Bitcoin, see my publication yesterday that I also join you in "associated idea" below. Because let's not forget that Bitcoin leads the Altcoins dance!
which has chained several in 2018 and 2019: see related idea below.
To better identify these Falling Wedge produced over a long time, we must go to logarithmic scale.
So, on my present tracing, you can see that of XRP in 2018 (including a smaller internal Falling Wedge in white dotted lines), which resulted in some interesting Pump!
But beware! We are not at all today in this case!
It is clearly this year a Descending Triangle.
Its appearance resembles that of Falling Wedge, while its outcome is usually totally opposite.
Indeed, Falling Wedge is a figure of inversion of tendency: the exit is done by the top.
While Descending Triangle is a figure of continuity: the exit is from the bottom!
My target is clearly Bearish in the short term on XRP, calculated as usual by amplitude shift on my plot.
This analysis is also supported by the Bull Trap risk in progress on Bitcoin, see my publication yesterday that I also join you in "associated idea" below. Because let's not forget that Bitcoin leads the Altcoins dance!
Comment:
Note that these 2 patterns are also identifiable on the XRP-BTC pair:
Trade active:
A remark seems to me interesting, the price is obviously evolutive and therefore dynamic: a pattern often evolves into a new pattern.
Thus, XRP in 2018 was primarily a Descending Triangle:
(which had also been made by means of small Falling Wedges)
The breakdown of this triangle (which is a continuation pattern) has subsequently generated the Falling Wedge that I had traced, generating in turn a brutal pump (reversal pattern):
By understanding this, we can deduce the interesting probability of the same future scenario:
First, the current Descending Triangle which is likely to give a breakdown by continuity (bearish oblique resistant more powerful than the horizontal support when approaching the tip of the triangle):
This bearish exit later allows to form a Falling Wedge which then becomes a reversal pattern with a pump even more violent (because this Falling Wedge will be larger, of greater amplitude, than is the current Descending Triangle):
However, this scenario of an imminent Dump followed by a Pump towards September is perfectly in agreement with my publications for Bitcoin, which gives even more chance that it is realized because of the strong price influence of Bitcoin on the other cryptos.
Thus, XRP in 2018 was primarily a Descending Triangle:
(which had also been made by means of small Falling Wedges)
The breakdown of this triangle (which is a continuation pattern) has subsequently generated the Falling Wedge that I had traced, generating in turn a brutal pump (reversal pattern):
By understanding this, we can deduce the interesting probability of the same future scenario:
First, the current Descending Triangle which is likely to give a breakdown by continuity (bearish oblique resistant more powerful than the horizontal support when approaching the tip of the triangle):
This bearish exit later allows to form a Falling Wedge which then becomes a reversal pattern with a pump even more violent (because this Falling Wedge will be larger, of greater amplitude, than is the current Descending Triangle):
However, this scenario of an imminent Dump followed by a Pump towards September is perfectly in agreement with my publications for Bitcoin, which gives even more chance that it is realized because of the strong price influence of Bitcoin on the other cryptos.
If that happens, however, I think it will be XRP's Ultimate Dip before its Bullrun,
see my more general analysis of the Bitcoin master stallion.
DISCLAIMER: Invest only what you can afford to lose.
Do not follow blindly any "prophet", you are solely responsible for your results.