Technical Analysis XRP/USD / 5.1.2018

Today XRP / USD broke down the ascending trend line. Is that a concern? Not! The correction at this point resembles very much with the last 2 usd correction. At the time, XRP had a correction of up to 38.20% Fibonacci withdrawal. If we now respect the same pattern, we will go down to Fibo 38,20% which corresponds to a price of 2,12 USD.

In TA down to Fibo, 38.20% is considered a correction, not a trend reversal. Breaking the 2,12 usd would mean a descent to Fibo 50% (1,76 usd). In that case, we will have a temporary reversal of the up trend and we will have a longer consolidation period. Given that Ripple has very good fundamental data, we have no reason to worry in the long run.

Do not forget that this year, we can have the first XRP currency announcement in cross-border payments. This will have a huge impact on the price.

If you are not a speculative trader, I would recommend HOLD. Levels of withdrawal (Fibo 38,20 and 50%) specified by me can be used for a step-buying strategy. Specifically: buy 30% of the money at Fibo 38,20. If the price goes down to Fibo 50% buy another 30% of the money. If the price goes down, you still have 40% to buy below.

At this point, I doubt that we will have a move below Fibo 38.20%. Do not forget that an informed person is less panicky.

PS. At the time I posted the technical analysis, the price reached Fibo 38.20% and started to rise.