Massive move imminent for Ripple after consolidation at $0.5

Ripple is currently in a prolonged consolidation phase, near a decisive support region with minimal volatility and light movements. An imminent breakout is expected, with its direction likely indicating the upcoming trend.

By Shayan

The daily chart

A close examination of the daily chart reveals that Ripple has consolidated between the substantial support at $0.47 and the crucial resistance at $0.55, with the price forming a sideways triangle pattern.

On the other hand, the upper limit of the range also aligns with the 100- and 200-day moving averages, making it a decisive supply level and acting as robust resistance.

The price is currently around the lower boundary of the triangle at $0.47, approaching the narrow range of the pattern with minimal volatility. This action indicates a balance between buyers and sellers and indicates an imminent breakout. The direction of this breakout will likely determine Ripple’s mid-term trend.

Source: TradingView The 4-hour chart

On the 4-hour chart, recent price action shows a break below a multi-week uptrend line, followed by a pullback to the broken level, completing a retracement.

This development indicates bearish sentiment in the market, with sellers maintaining dominance, causing pullbacks and fluctuations. On the other hand, the price has formed an ascending flag pattern, which usually indicates a continuation of the previous downtrend.

The price is approaching a critical moment at the lower boundary of the rising flag pattern, which aligns with the crucial support level of $0.47. A break below this conjuncture would likely trigger a cascading effect, with the next target being significant support at $0.42.

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