Ripple (XRP/USD) Analysis December 20, 2017

on Dec 19, 2017
Updated: Sep 19, 2019

Before last week, I had my doubts about XRP. It’s a banker’s platform and if you are against banksters then maybe you should be considering other decentralized platform. Something like BankEX or others, I’m sure there are competitors waiting to pounce.

 Ripple the company decided to move 55B XRP tokens to an escrow so that participants can track in real time the supply of tokens in the market. 55B tokens is a lot of tokens and if they had decided not to, well, I would advise anyone-everyone not to attempt holding XRP.

 After all, safe the good news it’s a private blockchain. Say what you want. Of course this was good news because you can now track any injection of XRP into the market and no more deals are cut with the bankers at the expense of investors.

From the chart, it’s a no brainer. Buyers are stepping on the gas and for good reasons. If you are late, fret not, buyers are shaping the shaft of the spear.

You can buy this week because it would be the first candlestick following what we technically call a “bull break out”. Then again, we have those stochastic measuring the pump’s flow rate.

As it is, the pump is working just fine and we have confidence of XRP highs. However, don’t buy because you just want to. Refining your entry can prevent panics.

Since we have decided to buy, two things should be our guide. Last week’s high lows are important not because the break out was impressive but those highs at $0.98 will be our trigger. To test buyer’s demand, we shall use a Fibonacci retracement tool.

 It shows that buyers are picking up from the upper fraction in between 23.6% and 38.2% which also coincides with the 20 period MA complete with a stochastic buy turning from the lower half of the stochastics.

Well, let’s just buy and place a stop loss at December 17 lows at $0.66. Because that’s $0.24 from buy point, we aim for a 1:3 risk reward if you are swinging and holding on for say 6 months for XRP believers.