XRP Price Prediction: Return to the Local High Imminent

Ripple (XRP) has struggled to achieve substantial growth, with its price increasing by just 17% over the past year. Numerous challenges, including ongoing legal battles and market volatility, have limited the altcoin’s performance.

Despite the challenges faced by XRP in achieving substantial growth, with a price increase of only 17% over the past year, the altcoin could be on the cusp of a major breakout, based on its historical performance.

An examination of the XRP/USD pair on the weekly chart, beginning in March 2021, reveals that the cryptocurrency trades in a crucial demand zone. During this period, XRP's price hovered between $0.60 and $0.61.

By late April 2021, XRP surged to $1.55, indicating a gain of over 100% in less than two months. A similar rally occurred in July of that year, with the altcoin rising from $0.60 to $1.28.

The current market setup suggests that XRP might be mirroring this pattern. If broader market conditions turn bullish, XRP could experience another significant breakout.

This outlook is further supported by the Relative Strength Index (RSI) during those past rallies, which reached high levels, confirming the strength of the bullish trend at the time.

As evident in the chart below, the RSI appears to be rising, and if this upswing continues, XRP has a higher chance of validating this outlook.

Another chart that supports this movement is the XRP/BTC weekly chart. From the chart below, we can see that Bitcoin (BTC) has been outperforming XRP since July 2023.

The last time the altcoin outperformed the number one cryptocurrency was during the period when XRP was confirmed not to be a security. But as of this writing, Bitcoin is no longer performing better; instead, XRP has been dominating since last month.

In the same vein, pseudonymous analyst Crypto Michael told his 46,600 followers that the cryptocurrency’s bullish breakout is very close. Referring to his analysis published in July, Michael highlighted that XRP could break above a seven-year bullish pennant.

“The sacred XRP mega pump is imminent,” the analysts noted.

Currently, XRP trades comfortably above the 20-day (blue) and 50-day (yellow) Exponential Moving Averages (EMAs) on its daily chart. The EMA is a technical indicator used to gauge market trends and predict future price movements. When a cryptocurrency’s price remains above the EMA, it indicates a bullish trend, whereas prices below the EMA suggest a bearish outlook.

In XRP's case, the price holding above both the 20 and 50 EMAs signals a bullish trend. Additionally, the golden cross—a bullish pattern that occurs when a shorter EMA crosses above a longer one — further supports this positive sentiment.

If this pattern continues, XRP could target $0.65 in the short term. However, ongoing developments in Ripple’s lawsuit with the SEC still pose a risk to this outlook.

If the regulator appeals the ruling and wins, XRP's bullish momentum could be disrupted, making it unlikely for the token to surpass $1 during this market cycle. In that scenario, XRP's value could drop to around $0.48,

The above is the detailed content of XRP Price Prediction: Return to the Local High Imminent. For more information, please follow other related articles on the PHP Chinese website!