On June 6, author and chartist Peter Brandt (@PeterLBrandt) took to Twitter to share his bullish view on Ripple’s price action. In his tweet, he mentioned two cryptocurrencies flashing bullish signals against Tether US (USDT): Litecoin and Ripple.
In technical analysis, a descending triangle pattern is often associated with bearish price action. However, rules that work in other assets don’t often apply in crypto. Case in point is Ripple’s descending triangle. Ripple’s value could have floundered because of this bearish pattern, but it did the exact opposite.
The target of a descending triangle breakout is often the highs of the pattern. In Ripple’s case, that’s 0.626 – as Peter Brandt predicted.
This assessment could be sound for several reasons.
First, we can see Ripple printing a large bull flag on the daily chart. This is a continuation pattern which suggests that the market may resume its ascent after the consolidation.
On top of that, we just saw a golden cross between the 100-day moving average (MA) and the 200-day MA.
Lastly, the bullish crossover puts all of our three MAs in an ideal alignment. The 50-day MA is on top of the 100-day MA and the 100-day MA is above the 200-day MA. This setup tells us that Ripple is bullish in the short-term, medium-term, and long-term.