The cryptocurreny market continues downside. Bitcoin heading below $8000, Ethereum heading to $500 and Ripple going back to $0.5. Ripple is likely going to the $0.2-$0.4 zone we have been discussing after the bearish move intensified. Price broke out of the $0.2-0.4 triangle zone in December 2017 and it seems the current dip is destined to test this level before deciding where to head next.
In the last update, we looked at an a-b-c bearish pattern completing around 75 cents. Price had earlier broken upside after the completion of a triangle pattern. Price was expected to continue downside despite the northward breakout. In the last update, we used the chart below.
Price is expected to dip further as expected in the last update. The next bearish target is 75 cents
Ripple is now trading at $0.65 – below the $0.75 target. The next bearish targets are $0.5 and the $0.2-0.4 zone. Let’s look at Ripple from a larger degree and see why it’s highly possible for price to drop to $0.2-0.4. The chart below shows a new forecast.
17-19 March Ripple price prediction: what next?
XRPUSD Elliott wave analysis, H2 (click to zoom)
The chart above shows a 5-wave advance that ended in the first week of January at around $3.3. A 5-wave rally is often followed by a 3-wave dip according to Elliott wave theory. This is exactly what has happened. Since the early January peak, price has lost about 80%. The drop, however, is a 3-wave decline. The first leg ( an impulse wave) to 85 cents in mid-January, followed by a 3-wave corrective rally to $1.7 two days after. About a month after the completion of wave (a), the 3-wave bullish correction that followed looked like a running flat pattern. The running flat wave (b) ended at $1.26 in the second week of February. After this, price has been dropping in what could end up being another impulsive wave (c) to complete a bearish zigzag pattern. Wave i-ii has completed and price could break below $0.6 to complete wave iii. If this wave count is correct, we would see price dipping to 20 cents-4o cents in the coming weeks before the next round of bullish recovery. Stay tuned for the next update.
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