XRPBTC breaks below key technical support level
Ripple/Bitcoin Index (XRPBTC) Technical Analysis Report for Nov 10, 2019 | by Techniquant Editorial Team
XRPBTC ended Sunday at 0.00003091 losing BTC0.00000083 (-2.61%). Today's close at 0.00003091 marks the lowest recorded closing price since October 4th. The bears were in full control today, moving the market lower throughout the whole session. Closing below Saturday's low at 0.00003139, XRP/BTC confirmed its breakout through the previous session low after trading up to BTC0.00000081 below it intraday.
Daily Candlestick Chart (XRPBTC as at Nov 10, 2019):
Sunday's trading range has been BTC0.00000121 (3.81%), that's slightly below the last trading month's daily average range of BTC0.00000155. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly higher than usual for XRPBTC.
Two candlestick patterns are matching today's price action, the Last Engulfing Bottom Pattern which is known as bullish pattern and one bearish pattern, the Black Candle. The last time a Last Engulfing Bottom Pattern showed up on July 15th, XRPBTC gained 8.67% on the following trading day.
Prices broke below the key technical support level at 0.00003123 (now R1), which is likely to act as resistance going forward. After having been unable to move above 0.00003187 in the prior session, the cryptocurrency ran into sellers again around the same price level today, failing to move higher than 0.00003179.
Though Ripple is currently in a short-term downtrend, this could just be a correction, as both the medium and long-term trends are still bullish.
Buying might speed up should prices move above the nearby swing high at 0.00003187 where further buy stops could get activated. Selling might accelerate should prices move below the close-by swing low at 0.00003046 where further sell stops could get triggered. Further selling might move prices lower should the market test October's nearby low at 0.00002970.
Among the nine market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Last Engulfing Bottom Pattern" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for XRP/BTC. Out of 75 times, XRPBTC closed lower 64.00% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after 10 trading days, showing a win rate of 72.00% with an average market move of -1.31%.
With six out of the seven Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are BCHUSD gaining 3.73% and EOSUSD closing 3.16% higher. On the flipside the worst performer has been XRPUSD closing -0.14% lower. Looking at the other Minor Cryptocurrencies, the winners of the day have been XLMUSD surging 8.52% and VETBTC closing 6.78% higher. The worst performers of the day have been KMDBTC tanking -9.82% and KMDUSD closing -7.06% lower. Read more