Amid the current market consolidation, the XRP price has remained stable, hovering above the $0.46 level to seek support above the long-coming support trendline. This week’s neutral candlestick pattern shows that neither buyers nor sellers are taking a definitive stance to drive the price direction. Nonetheless, as the Ripple vs. SEC legal case is gradually heading to its conclusion, market participants anticipate a significant directional shift in XRP’s price.
Also Read: Ripple XRP Case: Lawyers On Final Ruling Date, Odds Of Appeal & Settlement
XRP Price Eyes Major Bull Run From Triangle Breakout
XRP Price| Tradingview
The current downward trend in XRP began in early March, with the price dropping from a high of $0.74. This bearish shift resulted in a 36.8% decrease, bringing the asset’s value down to $0.427 and reducing its market cap to $26.28 billion.
However, a look at the daily chart shows this bear cycle is part of a well-known continuation pattern called a symmetrical triangle. Under the influence of this pattern, the asset price tends to resonate within two converging trendlines to restore momentum for a particular direction.
If the trend continues, the XRP price, currently positioned just above the pattern’s lower trendline, may experience increased buying interest. A potential turnaround could boost the price by 35%, aiming to reach the overhead trendline at approximately $0.63.
Should XRP break out from the triangle pattern, it would mark the end of the ongoing consolidation phase and amplify the bullish momentum. With sustained buying, the post-breakout rally could surpass the $2 barrier.
Also Read: Popular Analyst Predicts BTC Price Reversal After A Dip To This Level
Moreover, the Renowned trader EGRAG CRYPTO recently shared an optimistic analysis for XRP on social media, projecting a minimum price target of $6.4.
#XRP From Here To Here – Minimum Target: $6.4
With all the saga in the last couple of weeks, the monthly time frame candle formation is closing above Fib 0.236. This is simply a natural consolidation! 📈
Next target:🎯 Fib 0.5! Flip it with conviction, and then we fly to Fib… pic.twitter.com/SZzrwZeXxU
— EGRAG CRYPTO (@egragcrypto) June 30, 2024
The trader highlights that despite recent market fluctuations, XRP’s monthly candle is set to close above the Fibonacci 0.236 level, interpreted as a sign of natural market consolidation.
Looking ahead, EGRAG CRYPTO suggests that the next significant target for XRP is the Fibonacci 0.5 level. With strong market conviction, they believe flipping this target could pave the way for XRP to reach the Fibonacci 1.618 level at $6.4.
The renewed buying interest in the broader market and the result of a long-running legal battle between Ripple and SEC will be major contributors to XRP price reversal.
Technical Indicator:
BB Indicator: The downtick in the lower boundary of the Bollinger Band indicator indicates the seller’s strong influence on the market movement in XRP.
Moving Average Convergence Divergence: Multiple crossovers between the MACD (Blue) and signal (orange) line accentuate a near-term market sentiment as neutral.
Frequently Asked Questions (FAQs)
The Moving Average Convergence Divergence (MACD) is a trend-following momentum indicator that shows the relationship between two moving averages of an asset’s price.
Fibonacci retracement is a popular technical analysis tool that uses horizontal lines to indicate where possible support and resistance levels might occur based on prior price movements.
A symmetrical triangle pattern in cryptocurrency trading is a chart formation where the price converges between two sloping trend lines with similar slopes.
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Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
