The Ripple (XRP/USD) was trading 1% lower on Friday after rising as much as 7% on Thursday. Many traders are looking to enter the Ripple in hopes of a rebound soon, as indicated by the move on Thursday. Ripple is down more than 40% from its high of $1.34 it hit in November, so this looks like an attractive time to buy Ripple.
Ripple has some excellent fundamentals that can help support the price in the long run, so this drop could be a great opportunity to buy Ripple. Ripple has risen more than 5% this week, which signals a price reversal. However, you should buy Ripple now.
Here's what the graphics are suggesting-
Ripple has been moving in a sideways trend since August and has been consolidating since, in addition, a false breakout was also seen earlier this week as the price dropped below $0.83. Therefore, if Ripple is able to enter the zone, an optimistic view may be confirmed.
It appears that Ripple is forming a reverse head and shoulder pattern, this could be a great bullish pattern and long entries can be had at the $0.88 price retest. The swell may start moving towards upper resistance at $1.34 if a reverse head and shoulder are seen.
The RSI is also at the support level and is extremely close to the oversold zone, so buyers can be seen returning soon, which could soon start a rally.
Long entries should only be made above the $0.88 zone as an uptrend can only be confirmed when Ripple is in the zone, therefore any long entries must be nullified below the zone.
Investors can set a goal of $1.2 followed by $1.34. However, traders should maintain a stop loss below the $0.88 support zone.
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