[ad_1]
After spending three years in the crypto bear market as the target of all the jokes, compared to sheep manure and more, XRP shocked the entire industry with a 225% explosion in just one month. But the mighty breakout may be just beginning, according to a series of technical indicators that measure the strength of the move.
Here are five factors behind the breakout and why the move is more than likely sustainable.
XRP touches nearly $ 1 on Coinbase, Breakout is just beginning
During the early hours of the morning, the third place cryptocurrency hit a maximum price of over 90 cents per token at most on Coinbase.
The cryptocurrency started the month trading at the low end of 20 cents, more than tripling the value from low to current levels.
Related reading | Dominance of bitcoin and the dollar: five factors behind the current altcoin season
The manifestation of disbelief began after Ripple revealed that it was repurchasing XRP and that news was circulating about the upcoming release of Spark tokens.
And while XRP has been moving so much so quickly, the technicians suggest the rally has legs and is only just beginning. The chart below shows exactly where the altcoin called Ripple could be in terms of the market cycle.
The RSI is in bull market zone with room to grow, and the MACD has flipped bullish | Source: BTCUSD on TradingView.com
The Relative Strength Index over weekly time frames has entered bullish territory, where it has only reached three times earlier.
The first time there was such a bullish momentum, the rally continued until it reached nearly 900% ROI. The weekly RSI reached a reading of 95, indicating overbought conditions.
The Ripple rocket is currently only at 88, suggesting that there is plenty of room to grow during one of three bullish momentum. The chart above also shows the MACD breaking just now. The lagging momentum indicator adds credibility to the theory that an extended rally is here.
The ripple effect: why the bullish momentum is just beginning
With the RSI in bull market territory and room to run, and the MACD is only now turning bullish, that still leaves two significantly bullish factors to look into in Ripple.
The Bollinger Bands also back up the idea of a massive bull breakout | Source: BTCUSD on TradingView.com
In the weekly XRP charts against the dollar, the altcoin also reached the top of the Bollinger bands after breaking out of the middle line. This also occurred during the last bull break, which ultimately led to a 34,000% rise less than a year later.
Related reading | This is why crypto analysts are divided on the future of altcoins
Bollinger bands also mimic the signal provided by the Ichimoku cloud. Once XRP crossed the cloud last time, it went to the Ripple bull races.
The Ichimoku indicator also supports an extended bull trend | Source: BTCUSD on TradingView.com
Now that XRP has returned above the cloud for weekly time periods, the sky is no longer the limit and the altcoin known as Ripple may soon come out of orbit completely.
Featured image from Deposit Photos, Charts from TradingView.com
