XRP Price Analysis: XRP/USD is Eyeing an Explosive Breakout
- XRP/USD price action is moving within a triangular pattern formation, narrowing significantly within that structure and subject to a breakout.
- SIX is anticipated to launch another crypto-based exchange-traded product (ETP) for XRP.
XRP/YSD: Recent Price Behavior
XRP has cooled over the last two sessions, but has done little since 27th February. The price continues to move within a very narrowing range of around $0.03. Given the extent of how much the price action has tightened up of late, a breakout appears to be imminent. The daily chart view shows XRP/USD moving within the confinements of a triangular pattern structure. It is going to come down to whether the buyers or sellers pick up momentum first. The reason for this is a breach of either respective acting trend line is going to confirm the next direction likely.
SIX to Launch Crypto-Based Exchange-Traded Product (ETP) for XRP
The largest stock exchange in Switzerland, SIX, is expecter to launch another crypto-based exchange-traded product (ETP) for XRP. The XRP ETP is expected to released soon under the ticker of AXRP.
Amun AG is a Swiss crypto startup which created SIX, launching the world’s first listed crypto index product in November 2018. It is worth noting the organization runs a “fully integrated trading, settlement and custody infrastructure for digital assets. SIX is fully regulated as an operator of Financial Markets Infrastructure (FMI) by Swiss Authorities, FINMA and the Swiss National Bank. It intends that the planned ‘digital asset ecosystem’ – SIX Digital Exchange (“SDX”) – will enjoy the same standard of oversight and regulation.”
Upon the news of an upcoming XRP ETP, the Co-founder and CEO of Amun AG Hany Rashwan commented to a newswire that the company has also received SIX’s approval to launch four more ETPs. These are expected to cover other altcoins such as Bitcoin Cash (BCH), Litecoin (LTC), Stellar (XLM) and EOS.
Technical Analysis – XRP/USD
The lower acting trend line of the earlier mentioned triangular structure is being tested to the downside. XRP/USD has respected this since 24th February, moving closer towards the end of the structure. Immediate support is eyed at $0.3125; should this fail to hold the psychological $0.3000 level will be watched for comfort. Further south, a chunky area of demand remains active from $0.3000 running down to $0.2500, with prior buyer interest also seen at $0.2000.
To the upside, immediate resistance is noted at $0.3230 where the upper trend line is currently tracking. The breach here would open the door to a strong wave of buying pressure. Eyes would then be on supply which runs from $0.3400 up to $0.3600. XRP/USD has not traded comfortably above this zone since 10th January 2019, demonstrating the significance of this move. A break above here could then open the door for the bulls to have another go at breaking down $0.4000 price region.
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.
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