XRP Could Soon Trap Bulls; Heres How Low Traders Think It Could Decline

Sunday 5 May 2020, 5:55 AM AEST - 1 week ago

  • XRP, like most other altcoins, has been caught within a bout of sideways trading throughout the past several days and weeks
  • The cryptocurrencys rangebound trading may not last long, however, as analysts are now noting that it could be poised to see some major downside in the days and weeks ahead
  • Its next notable decline could be sparked by a bull trapping movement higher
  • Some analysts are even pointing to a fractal that suggests new lows could be imminent

XRP has been hovering sideways around $0.20 over the past several days and weeks, struggling to garner any notable momentum as Bitcoin and most other major digital assets also consolidate.

It now appears that the crypto could soon see a slight rise higher, although this movement could mark a bull trap that is followed by intense downside.

Some analysts are also pointing to a striking fractal pattern that suggests the token could be positioned to see some notable downside in the days and weeks ahead – potentially even setting fresh multi-year lows.

XRP Continues Consolidation, But Turbulence Could be Imminent

At the time of writing, XRP is trading down just under 1% at its current price of $0.199, which is around the price at which it has been trading at for the past several days.

This sideways trading has come about as the result of that seen by Bitcoin. The benchmark cryptocurrency has struggled to garner any decisive momentum as it trades in the lower-$9,000 region.

XRP could soon put a swift end to this price action, however, as analysts are noting that it may soon push higher as it traps buyers.

One analyst mused this possibility in a recent tweet, explaining that he believes it will rally from its current price of 0.0000217 up towards 0.000024 BTC, before posting a swift decline that leads it lower.

This movement would mark a bull trap.

XRP looking pretty nice for a bearish retest of HTF resistance imo. This could of course deviate and fall back into the range, but the R/R to punt a long here is pretty decent, the trader noted while pointing to the below chart.

Read full story on Bitcoinist.com