Coins Kid, a cryptocurrency analyst, has shared his insights on the current XRP price action. In his latest video, he highlights a bullish divergence on the four-hour timeframe, which has prompted him to enter a micro long position on the token.
While this setup does not necessarily indicate a market bottom, it presents an opportunity for traders to capitalize on short-term price movements.
Confluence of Factors Needed for Confirmation
Coins Kid emphasizes the need for additional confluence factors to confirm a more significant trend reversal. These include a bullish divergence on the daily timeframe and a clear five-wave pattern in the price action. Until these conditions are met, the analyst remains cautious about declaring a definitive bottom for the current correction.
For those interested in the micro long opportunity, Coins Kid provides a detailed trade setup. He suggests placing a stop loss at $0.478, which represents a minimal risk of approximately 2.19%. The target for this trade is set at $0.5166, offering a potential gain of around 7%. This setup aims to capture a potential A-B-C corrective wave before a final leg down.
New Meme Coin to Watch Aiming to be Next $BONK, $WIF or $MEW
Milei Moneda is a new meme coin inspired by the political and economic views of Javier Milei, an Argentine president known for his libertarian and pro-Bitcoin stance. You have an opportunity with the ongoing low presale price to get in early!
Sponsored
Show more +Show less – Macro Perspective and Bitcoin’s Influence
Zooming out to the daily timeframe, Coins Kid emphasizes the importance of Bitcoin’s price action in determining XRP’s trajectory. He notes that if Bitcoin manages to break above a key moving average, as it did in 2021 before XRP’s massive rally, it could be a signal to accumulate XRP aggressively. A breakout above the $1.97 high could indicate a potential new all-time high for XRP.
Read more: Ripple (XRP) Poised for Potential Vertical Rally as Retracement Nears Completion
Analyzing the overall price structure, Coins Kid identifies a five-wave move up followed by an overlapping, zigzag-like corrective pattern. He interprets this as a potential flag pattern, similar to the wave two correction seen earlier. If this pattern holds, he anticipates a significant expansion once the correction is complete.
In the event of a final flush to the downside, Coins Kid highlights the importance of the 0.786 Fibonacci retracement level at 0.3821 and the “god candle” support. A wick grab at these levels could provide a final shakeout before a potential vertical move upwards.
Join Aethir’s exclusive airdrop and earn badges by participating in events or holding community tokens. Complete tasks and secure your spot before the snapshot date is revealed!
Check $RECQ Meme Coin Sponsored: Invest Responsibly, Do Your Own Research. Buy RECQ Today Serves as the base currency for all transactions within the Rebel Satoshi platform ICO stage, offering tokens at a discounted price Facilitates a smooth and efficient economy within the arcade, supporting both arcade and in-game transactions. Grants access to a diverse range of gaming experiences in the Rebel Satoshi Arcade, Contributes to a decentralized, community-driven RebelSatoshi platform that integrates gaming with elements of revolution, freedom, and unity, appealing to users who value such principles.
The post Ripple (XRP) Price Analysis Shows Bullish Divergence, Signaling Potential Micro Buy Opportunity appeared first on CaptainAltcoin.
