The crypto market enters a relief rally ahead of Wednesday’s U.S. market opening. The Bitcoin price witnessing buying pressure at $90,000 has bolstered the altcoin market to seek support amid the current correction trend. Thus, the XRP price shows sustainability above $1.3 level and a suitable reversal opportunity with a bull pennant pattern.
As of now, the XRP price trades at $1.41 with an intraday gain of 1.4%. According to Coingecko, the asset’s market cap stands at $81.1 Billion, while the $8.6 Billion.
Key Highlights:
- A pennant pattern governs the current consolidation trendline in XRP price.
- This altcoin holding above 23.6 Fibonacci retracement level hints health pullback amid broader market correction.
- The XRP coin is 1.3% away from the key resistance breakout of the triangle current consolidation
XRP Price Hints Imminent Breakout with Pennant Pattern
Since last weekend, the XRP price has been wavering sideways above $1.3 support. While the broader market signals correction in most major altcoins, the daily chart in XRP shows long-lower price rejection candles indicating intense demand pressure from the bottom.
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A deeper analysis of a shorter time frame shows Ripple cryptocurrency resonating strictly within two converging trendlines forming a pennant pattern. This chart setup shows the dominating uptrend with a ‘flagpole’ followed by a temporary consolidation with a symmetrical triangle.
Since early November, the XRP coin recovery formed this pattern for the third time, with priors providing a rally of 43% to 65%.
Thus, a potential breakout from the overhead trendline could propel the altcoin 40% up to a target of $2.
Fibonacci Levels Highlight Key XRP Supports
The momentum indicator RSI (Relative Strength Index) wavering around 50% shows a neutral stand in short. If the XRP price reverts from triangle resistance, the sellers could prolong the consolidation trend and push the asset 8.6% down to retest $1.3.
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If the price gives the triangle breakdown, the buyers could seek support at $1.2 and $1.06, conceding with the 38.2% and 50% Fibonacci retracement.
