Market analyst Dark Defender has highlighted key levels in XRP’s price action that could determine its future trajectory.

In his latest analysis, he discussed the importance of the $0.6649 price level and said that a break above this resistance could spark a notable bull run reminiscent of XRP’s 2017 surge.

He confirmed that for the past few months, XRP has been in a consolidation phase, fluctuating between the resistance level of $0.6649 and the support level of $0.3917.

This extended period of consolidation suggests that pressure is building and could lead to a strong breakout once price decisively breaks above or below these levels.

Key XRP resistance level is $0.6649

Dark Defender highlights the importance of the $0.6649 level, which is slightly above the weekly Ichimoku Cloud. According to him, a breakout of this resistance could mean a shift in market sentiment, which could spark a rally.

XRP Weekly Chart | Dark Defender

By pinpointing Fibonacci retracement levels, the analyst predicts that if XRP can sustain a breakout above $0.6649, it could eventually spark a strong rally. Dark Defender expects this rally to push the price to $18.22 in the long run.

Meanwhile, in the short term, analysts have identified two key support levels at $0.5286 and $0.4623. In particular, the $0.5286 level is close to the 50% Fibonacci retracement level of the most recent bullish wave, making it an area of ​​strong focus for bulls looking to prevent further declines.

The $0.4623 area acts as a minor support level and can provide additional support to XRP if the market encounters more bearish pressure.

RSI indicator and historical similarities

The analyst also drew attention to the weekly Relative Strength Index. The decline in the RSI on the weekly chart has coincided with prices falling, forming higher lows – a bullish sign that suggests sellers are losing momentum.

Additionally, a golden cross has formed on the weekly RSI, which occurs when a short-term moving average crosses above a long-term moving average, signaling potential bullish momentum.

Dark Defender compared the current market conditions to those before XRP’s historic bull run in 2017. If history repeats itself, XRP could be about to see a massive rally that could target the 361.80% Fibonacci extension level of wave 3 at $18.22.

Current Market Overview

The latest daily chart shows XRP trading at $0.585, just above an ascending trendline that has been providing support since July 5, 2024. This trendline has successfully prevented lower lows, maintaining a bullish bias in the short term.

XRP 1D Chart

The Daily Momentum Index (DMI) indicator presents a mixed picture. The +DI (blue line) is at 17.499, while the -DI (yellow line) is at 24.195, suggesting that bears still have the upper hand in the market.

The Average Directional Index (ADX), which measures the strength of the trend, is relatively low at 14.186, suggesting a weak trend that could strengthen if a breakout occurs.