Over the past week, XRP continued to struggle, with the steep incline on 25 October failing to propel the token above its major resistances. The price has since undergone several corrections and over the past 48 hours, the coin has steadily depreciated from $0.297 to $0.291. However, the trend may undergo a change soon, according to recent analysis.
The 1-hour chart for XRP exhibited price corrections that dated back to 30 October as the token recorded sideways movement on the chart. However, at press time, the valuation navigated within the trend lines and pictured the formation of a descending channel. A couple of prominent lower highs and lower lows were observed within the trend, as an imminent bullish breakout was on the cards.
The trading volume depleted over the duration of the trend and validated the descending channel formation. The MACD indicator remained bearish in the charts, but the signal line maintained close proximity with the MACD signal and implied a trend reversal in the future.
The 4-hour chart for XRP highlighted clear sideways movement between the resistance at $0.304 and the support at $0.285. However, the formation of a falling wedge conveyed the improved possibility of another bullish breakout. The 50-Moving Average recently moved over the 100-Moving Average and suggested the completion of a bullish crossover.
The Relative Strength Index was slowly moving towards the overbought zone, but over the past 3 weeks, the 40.96 line has been breached only once. Hence, the possibility of a bounce-back was high for the token.
However, the positive incline may fail to breach the major resistances at $0.304 and $0.302, as the immediate resistance at $0.295 awaits re-testing.
XRP’s price rarely surges dramatically in the market and the next bullish break is unlikely to change the trend.
Litecoin’s ailing price prepares for breach of descending channel
Litecoin noted a sharp fall on 15 November, a fall that caused its price to fall from $59.97 to $55.63. This 7.24% fall was followed by the price of the coin climbing up. However, it fell soon after the rise. The price of Litecoin at the time of writing hovered at around $58.07 with a market cap of 3.75 billion, while noting a trading volume of $2.90 billion.
Despite the falling price, however, Litecoin noted the formation of a bullish pattern that might provide a boost to its price.
The hourly chart for Litecoin [LTC] saw a descending channel extending along with the falling price. The pattern, characterized by two sloping trend lines, marked the lower highs of LTC at $60.26, $59.16, and $59.03 and lower lows at $59.38, $58.94, and $58.53. As the price remained constricted within the downward trend, a breach in the pattern might lead to the price of LTC surging.
The 50-day moving average underwent a crossover with the 100-day moving average, indicating a bullish move. The 100-day moving average dominated the LTC market for over five days and the coin lost 4.08% of its value. However, with the 50-day MA leading the charge, an upward surge might be coming soon.
The MACD indicator noted strong bearish momentum in the market, as the MACD line remained dormant under the signal line. On the other hand, the Relative Strength Index highlighted a change in tides as the signal line bounced back from the oversold zone and was pointing up.
Litecoin’s falling price might find respite with a breach of the descending channel. However, the coin might undergo further devaluation before it could note a spike.