Ripple’s XRP has been in a downtrend for almost two years. The third-largest cryptocurrency posted an all-time high of $3.30 in January 2018. Since then, investors have experienced nothing but pain. To add insult to the injury, Ripple Labs has reportedly earned over $533 million in 2018 by selling pre-mined XRP. As of today, the crypto token has lost over 90% of its value from the peak. However, it appears that the worst is behind it.
Peter Brandt, the trader with the most following on Twitter, believes that Ripple is about to bottom out soon. If he is correct, the cryptocurrency is likely to be in a position to pump before the much-awaited Swell event. A diamond pattern is a reversal pattern that’s not often seen in traditional assets like stocks and commodities. However, it has already made a couple of appearances this year in cryptocurrencies. The first one was early this year when bitcoin bottomed out at $3,000.
The second diamond bottom appears to be forming in Ripple’s daily chart, according to Brandt. In a follow-up tweet, the trader noted that the key level to take out is $0.3038. A move above that price area completes the pattern with a target of $0.46912. In other words, Brandt expects Ripple to skyrocket by more than 54% after the breakout. Over the last few days, the crypto token has been knocking on the doors of $0.3038. As of this writing, Ripple has finally moved above the resistance and appears to have completed the pattern.