Ripple price continues to trade out on the back of hefty transaction volumes between whale wallets. One of these transactions has former Ripple CEO Chris Larsen as a beneficiary of a substantial amount of XRP tokens. This transaction was one of several that took place in the last few days that have seen millions of Ripple tokens being moved to Coinbase Pro and to other exchanges.
These transactions, as well as continued USD weakness, seem to have had a little bit of impact in lifting Ripple price over the weekend, even as the XRPUSD pair attempts to break above the bullish pennant found on the daily chart.
The correlation between Ripple price and Bitcoin prices continues to be respected. Bitcoin price action has not dropped below the $11000 bank for close to three weeks, and yet bullish action above $12,000 has not materialized. Similarly, Ripple price activity to the upside seems to lack conviction, as attempts to force a break above the 0.28185 level appears to have run into some opposition.
Ripple price action on the daily chart shows that yesterday’s price candle had violated the upper border of the bullish pennant. However, that move met resistance at the 0.28185 price level. Sellers have initiated a pullback back from this level in today’s trading session. If buying pressure comes in and forces a successful breakout, then Ripple price could be on its way towards the 0.30984 price level. The measured move from the breakout point has to correspond to the pole component of the bullish pennant pattern. This would potentially place the limit of the breakout news at the 0.38473 price level. This move would still have to contend with the resistance formed by the previous highs of 5 August 2019 at 0.33146, and 15 February 2020 at 0.34646 before it can be actualized.
On the flip side, the extension of today’s bearish action towards the 0.24722 support level could be the basis by which the pattern is nullified. This also opens up the opportunity for a potential run towards the downside target at 0.22329. The support at 0.21288 follows a breakdown of 0.22329.
