- Bullish Vs Bearish - 45%45%
- Confidence - 55%55%
Descending triangle is a bearish pattern that plays out when price bounces off same level and registers lower highs with each bounce. This was the case with Bitcoin at $6000 and many other altcoins that followed suit amidst Bitcoin’s decline in the fall. Although Ripple has been registering higher lows on the weekly chart since September, the lack of higher highs and increasing volume is alarming and pointing to bearish signs.
Ripple established its support levels at around $.25 mark in early September and showed strength with a huge ~200%+ bounce shortly. It eventually came down from the highs of around $.80 to the current price of $.33 while registering lower highs and higher lows.
Although the current pattern is not entirely bearish and is showing conflicting indicators, invalidation of higher lows and retest of 2018 support levels around $.25 would strengthen the case for the bears. However, a weekly close above $.40 would significantly strengthen the case for the bulls and eventual run up after this triangle pattern is broken.
In the past year Ripple has shown strength by decoupling from Bitcoin’s price movements or so the narrative goes. But if you look at the 2018 overall performance of Ripple vs Bitcoin, this decoupling narrative is clearly falls as both have fallen by 80%+. If Bitcoin hits new lows below $3200, Ripple will most like follow suit to at least $.25.