The price of XRP may break out of the short-term resistance level in the near future, accelerating the rate of growth to $0.47.
With an intra-channel decline, XRP dropped to a low of $0.28, confirming the channel’s support line (green icon). The subsequent upward movement restored the middle line of the channel.
The price action on the weekly chart shows that the price of XRP has fallen inside a descending parallel channel since April 2021. At the time, it hit a 2021 high of $1.98. This was well below the all-time high of $3.55 reached in January 2018.
With an intra-channel decline, XRP dropped to a low of $0.28, confirming the channel’s support line (green icon). The subsequent upward movement restored the middle line of the channel. After that, the price of XRP fell during the week of November 7-14, a drop seen across the entire cryptocurrency market. However, it held above the middle line of the channel (green circle). This is considered bullish.
The weekly RSI is very bullish. First, it broke through the resistance line that started at the same time as the channel. Second, it generated a bullish divergence (green line). The divergence trendline remains unchanged. These are bullish signs that bode well for the future price of XRP.
Therefore, a channel breakout is possible. If this happens, XRP could reach a resistance area with an average price of $0.87.
As a result, the XRP price prediction on the weekly timeframe is bullish. A weekly close below the channel’s midline and/or a break of the RSI trendline will invalidate it.
XRP Price Prediction 2022: Bullish Structure Still Intact
The price movement on the daily chart shows that the price of XRP has been following an ascending support line since June 14th. The line has been confirmed multiple times, most recently on November 14 (green icon). This created a bullish engulfing candle for the next 24 hours.
The main short-term resistance area is at $0.39. This is the 0.382 Fibonacci retracement resistance level and the horizontal resistance area.
Since the price of XRP has made four attempts to break above it, it is likely that it will eventually succeed. This will also push the daily RSI above 50.
In this case, the price of XRP could reach the descending resistance line at $0.47, which is almost the same as the resistance line of the long-term channel.
Conversely, a daily close below an ascending support line indicates a bearish trend.
Finally, the six-hour chart is aligned with the daily chart, suggesting a breakout is about to follow.
The price of XRP is trading inside an ascending triangle, which is considered a bullish pattern. A breakout that runs the length of the triangle (green) will take the price to the aforementioned resistance line at $0.47.
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