- A technical analyst recently presented a compelling case, presenting a huge potential for an incoming rally in the XRP price.
- A bullish pattern targets a $4.50 top in the short run.
XRP Price Trend Breaks Out From Consolidation
According to the pseudonymous CasiTrades, an analyst with a growing following on the X social media platform, technical readings hint at XRP price “heating up” for a further push upwards. She claimed the token tests a break across the $3 line based on the established key resistance zones within the Fibonacci retracement levels, a tool widely used by analysts to predict an asset’s future supports and resistances based on historical data.
The crypto personality shared with her followers that the price of XRP has been struggling within that level in the daily chart for the past few days. She said a decisive move above that barrier will feed the token more momentum.
Additionally, the analyst noted that the 14-day Relative Strength Index (RSI) of XRP is cruising steadily along a bullish slope. Meanwhile, its moving average is serving as support in the trendline. These are reinforcing the token’s strength for a potential rise.
If XRP indeed passes the $3 hurdle, its next areas to watch out for are $3.08 and $3.27. The analyst stated that she is observing whether the major Fibonacci levels at $3 (0.382 resistance) and $3.25 (0.236 resistance) will transform into supports.
A clean breach of either of the mentioned areas will retest the previous top this year at $3.66, and a continuation of the uptrend could lead to a $4.50 peak. That’s over 17% above XRP’s all-time high of $3.84 eight years ago.
On the other hand, CasiTrades warned that a failure to hold the $3 mark would risk XRP revisiting the $2.78 and even the $2.58 supports under the Fibonacci retracement levels.
Supporting Forecast
Ali Martinez, another popular technical reader on X, confirmed that the XRP price has broken out from a descending triangle pattern, which started forming following the exhaustion of the July bull market. A descending triangle is characterized by a horizontal support line and downward-sloping resistance line, showing almost the same lows but descending highs. This is a bearish pattern, but a conclusive break above the resistance line suggests the start of a bullish reversal.
In this case, the analyst opined that XRP is now directly targeting $3.60. Surpassing that could lead to a potential fulfillment of CasiTrades’ forecast.
Final Thoughts
The projections that the analysts in this article laid down definitely paint a bullish narrative for XRP in the short run. However, they only lean on the technical aspect of the asset’s price movements, overlooking other fundamental factors that could influence the market.
Furthermore, remember that nothing is set in stone, especially in finance and the volatile realm of crypto. Hence, established trends from previous cycles may not guarantee future results.
Lastly, all information in this article is only for informational purposes. They do not reflect financial advice or product recommendations from the author or the Blockzeit team.
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