It has been long time since my last update about Ripple. This is one of my favorite coins based on its project, fundamental and the CEO's background. However, the movement in the short term can be variable depending on current situation in the market. A lot of people say that this is the time to buy because the next bull run is going to start again just because the bitcoin's price has a bounce from $30000 to $40000. This statement is a little bit too optimistic to me as there isn't any clear validation for this movement. I'd like to cover it with more realistic view on Ripple here. This analysis also can be applied to all the coins that is having positive correlation with Ripple.
This technical analysis shows us that there is still a major lower high and lower low structure in the market right now. The huge descending triangle in high degree with the dashed line is still in play to show us that the bears are still in control of this market. Another perspective is there is also major impulse and correction wave that is drawn on the chart. The orange box represents the impulse wave down while the green boxes represent the correction wave of the impulse. From this perspective, we can see that the price is slowly gaining any bullish momentum in the lower time frame. Since the price touched the $0.513, we have seen a consolidation pattern following with the 51% bounce which makes the price is trending at current $0.73 level. Another indication is that on the lower time frame there is a small descending channel which the upper line has been broken to the upside to gain more momentum to the upside.
However, I want to make it more realistic in my perspective. Price may have shown us a break out above the upper line of the small descending triangle but that doesn't mean the price will eventually claims its ATH with one huge impulse wave to the upside. The more realistic movement in the short term is to anticipate the .382 Fibonacci retracement level as the maximum target for this validation which this level is having an alignment with the upper line of the higher degree descending channel. For short term, yes there is high probability of the price to spike even higher but for the longer term, it's unlikely the price can break above the upper line of the huge descending channel.
This technical analysis shows us that there is still a major lower high and lower low structure in the market right now. The huge descending triangle in high degree with the dashed line is still in play to show us that the bears are still in control of this market. Another perspective is there is also major impulse and correction wave that is drawn on the chart. The orange box represents the impulse wave down while the green boxes represent the correction wave of the impulse. From this perspective, we can see that the price is slowly gaining any bullish momentum in the lower time frame. Since the price touched the $0.513, we have seen a consolidation pattern following with the 51% bounce which makes the price is trending at current $0.73 level. Another indication is that on the lower time frame there is a small descending channel which the upper line has been broken to the upside to gain more momentum to the upside.
However, I want to make it more realistic in my perspective. Price may have shown us a break out above the upper line of the small descending triangle but that doesn't mean the price will eventually claims its ATH with one huge impulse wave to the upside. The more realistic movement in the short term is to anticipate the .382 Fibonacci retracement level as the maximum target for this validation which this level is having an alignment with the upper line of the higher degree descending channel. For short term, yes there is high probability of the price to spike even higher but for the longer term, it's unlikely the price can break above the upper line of the huge descending channel.