After a historic momentum surge in Q4 of last year, Ripple settled into a consolidation pattern and has been digesting those gains constructively for the last six months.
Now this is an altcoin. Volatility doesn't remain this tight for long. This contraction formation has already coiled for an extended period, making it a rare setup.
And what it really means is we should expect fireworks.
So, I don't think the move will fizzle this weekend. I don't think it ends next week. Or next month.
Of course, there will be some backing and filling and dips to buy along the way.
But these cryptos are just starting to go now… after doing nothing all year. And the early momentum is saying these breakouts are valid.
Due to the nature of the consolidations— the way volatility was squeezed so tight for so long— the reaction rallies could be epic.
Volatility contraction is like fuel. Think of these consolidations like putting gas in the tank for the next move. The longer they coil, the more energy they build.
I don't know how high Ripple goes this time, but I haven't seen compression like this in a while.
The altcoin was up about 450% in a month's time following the election last year. So I think it would behoove you to think big with this one.
The setup is there. The breakout is on.
Happy altcoin summer.
