Ripple (XRP) has slowed down after an aggressive climb last week. The price has now formed a triple top as seen on the XRP/USD 4H chart above. This is a very strong resistance which is unlikely to be breached at this point. Ripple (XRP) does not have the bullish momentum to break this resistance from its current levels. The price will have to retrace back to the support at $ 0.2738 before it can retest the resistance.
Ripple (XRP) has been trading sideways since mid August. The above chart for XRP/USD shows that the price has been consolidation on the 4H time frame after Ripple (XPR) tested its trend line. This consolidation has been taking place above the $ 0.31 level which has now become a strong support for Ripple (XRP). The price is unlikely to fall lower from here but the consolidation suggests that a rally towards $ 0.44 might be likely in the days ahead.
Bitcoin (BTC) seems to have made a recovery the last few days but since the beginning of this month, it has been trading in a big rising wedge that extends all the way to Bitcoin (BTC)’s downtrend resistance. The above daily chart for BTC/USD shows that the price has room to rally till $ 7,500 as mentioned in one of our previous analyses but any positive momentum at this stage will most likely be short lived as Bitcoin (BTC) risks falling back to the $ 5,800 support once it break out of the rising wedge.
After a feeble rally on diminishing volume, bitcoin is currently in the middle of its first major pullback in about 2 weeks. Over the last week or so, bitcoin managed to break its sustained downtrend and trend back inside the macro trading range (TR) — both of which are quite bullish market characteristics. However, today’s pullback has us retesting the support of the macro TR (outlined in blue):
Figure 1: BTC-USD, 1-Day Candles, Macro Trading Range