XRP Price Analysis: Bulls Tease with Short-lived Game-Changing Breakout as Trust Wallet Adds XRP Support

  • The XRP bulls briefly forced a breakout of a triangular pattern that was previously containing the price; however, the upside failed to sustain momentum
  • Binance’s Trust Wallet has announced support for XRP, allowing users to purchase with credit cards.

XRP: Recent Price Behavior 

The XRP price on Wednesday had initially outperformed several of its peers after spiking as much as 6% to the upside. The initial move in the early part of the session was very much aggressive and explosive, observed within a concise space of time. XRP/USD printed a new high for March but was very short-lived. Sellers quickly came into action, forcing XRP to give up much of that jump higher.

The price had temporarily escaped from the confinements of a triangular pattern structure. It has been containing XRP/USD since 24th February, forcing the price to move within a narrowing nature. Keeping in mind the recent price behavior, XRP/USD is edging right towards the end of the detailed structure. The case for a breakout is extremely high, given the lack of wiggle room. In terms of the spike, a long upper wick has formed on the daily time frame. The price needed to see a substantial body close above the pattern for it to be a firm breakout for further upside pressure.

Trust Wallet Announces XRP Support

Trust Wallet, an official wallet of one of the largest cryptocurrency exchanges Binance, recently announced its support of XRP, the third largest cryptocurrency by market cap. Users of Trust Wallet will now be able to access XRP directly via a credit card payment. In terms of the latter, it is a newly introduced payment method that allows users to buy crypto using a credit card.

Binance’s Trust Wallet already supports Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Bitcoin Cash (BCH), in addition to other ERC-20 tokens. Regarding the new addition, company founder Viktor Radchenko detailed that he is pursuing new programs to boost adoption of the Trust Wallet.

Radchenko commented on the announcement:

“Trust Wallet, the secure multi-cryptocurrency wallet and official wallet of Binance, the world’s largest cryptocurrency exchange by trading volume, today released support for credit card payments for cryptocurrency. This new payments option is accompanied by Trust Wallet’s support for Ripple’s XRP, which users can now receive, send, store and exchange.”

Technical Review – XRP/USD

XRP/USD daily chart.

XRP/USD remains within the confinements of the triangular structure; the key for a committed trend would be the completion of a firm breakout. A breach is imminent, as demonstrated in the session on Wednesday, with the bulls teasing with the temporary escape. Should the bulls manage to force a move out of and see a robust daily close above, further buying pressure would be expected. The next area to break down will be the supply zone observed from the $0.3400-0.3500 range.

To the downside, a failure of the underlying trend line holding could be catastrophic; it is currently tracking at $0.3140. Further south, the psychological support of $0.3000 remains active. Lastly, a chunky area of demand runs from $0.3000 down to $0.2500.

Disclaimer: The author owns Bitcoin, Ethereum and other cryptocurrencies. He holds investment positions in the coins, but does not engage in short-term or day-trading.

Featured image courtesy of Shutterstock.

Author:
Ken has over 8 years exposure to the financial markets. During a large part of his career, he worked as an analyst, covering a variety of asset classes; forex, fixed income, commodities, equities and cryptocurrencies. Ken has gone on to become a regular contributor across several large news and analysis outlets.