XRP had yet another rejection off the top of the Triangle Resistance, pushing the price down below the Daily 30EMA. The crypto market as a whole is pulling back from its recent bull run. Are we going down?

How do we trade this? 🤔

I believe the crypto market is going to reverse to the downside in the coming weeks. Refer to my recent Bitcoin lifetime analysis for those details:

What does that mean for XRP? Given the large bear candle after contact with resistance closing below the Daily 30EMA, RSI below the Moving Average, the crypto market itching for at least a pullback if not a full blown reversal to previous lows, XRP has a high likelihood of touching the Triangle Support. The short-term trade option is to short scalp the market to the bottom of the Triangle with a 1:1 Risk/Reward Ratio. I would use a small position size give we have some distance from Resistance and that this is a scalp, which is inherently higher risk but in trade for greater probability of success.

💡 Trade Idea 💡

Short Entry: 0.61
🟥 Stop Loss: $0.67
✅ Take Profit: $0.55
⚖️ Risk/Reward Ratio: 1:1

🔑 Key Takeaways 🔑

1. Contact with Triangle Resistance, falling below 30EMA.
2. Last Daily Candle Closed Below 30EMA.
3. Gap to 200EMA and bottom of Triangle.
4. RSI at 44.00 and below Moving Average, Bias to Short.
5. Bitcoin Showing Signs of Reversal. Scalp Short.

⚠️ Risk Warning! ⚠️
Past performance is not necessarily indicative of future results. You are solely responsible for your trades. Trade at your own risk!

Find me at TradingView.com/u/TraderEngineering/

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