This is a study post by CoinDesk analyst and chartered market technician Omkar Godbole.
Alternative cryptocurrencies usually move in conjunction with bitcoin But the size of their price swings is often different.
Get fees dedicated to XRP as an example. Since July, every Bitcoin uprising has been ralling for XRP rallies; However, the XRP continues to produce “lower highs.” A lower high occurs when a peak of price is lower than the previous one, indicating the weakening of the purchase pressure.
The ongoing pattern of lower highs in XRP, next to the new Bitcoin highs, signals based on the weakness of XRP momentum – a sign of less convincing XRP consumers compared to BTC. It suggests that XRP can be injured in Sharper’s losses during Bitcoin pullbacks.
Bitcoin began at a sharp rally in late September, reaching a new high of more than $ 126,000 on Monday. The XRP also saw the purchase of interest, but its upcoming faded to $ 3.10 – less than the higher September of $ 3.19.
The XRP was formed by a similar high in mid-August, when Bitcoin advanced to a former $ 124,000 high.
The lower highs series in the XRP since July, taking place against horizontal zone support of $ 2.65- $ 2.70, suggests weakening consumer strength.
In other words, with each lower high, the possibility of XRP destroys under this support zone and potentially triggers a deeper sale to the $ 2.00 increase.
Prices need to raise the latest lower $ 3.10 with high volume to validate bearish setup.
That said, as it is today, the weekly MACD histogram, a key indicator for the assessment of tremors and potential return, supports the Bearish perspective. It crossed the bottom of the zero line last month and is now making repeated -deeper bars under zero, which signed the upbringing momentum.
