The latest analysis of the XRP chart by analyst Egrag highlights a seven-year continuous support level, fueling optimism regarding the asset's potential bullish trend.
Recently, Egrag presented a chart covering the historical price pattern of XRP on a monthly time frame, spanning almost a decade since 2014. He invited the community to examine the setup and share their thoughts on whether it suggests a bearish forecast or hints at a strong bullish trend.
The chart highlights two key price levels: $0.41 (red) as the lower boundary and $0.75 (green) as the upper target. The $0.41 level is a support level, while $0.75 represents a potential resistance or breakout point.
Meanwhile, a notable feature of the chart is the 'Bifrost Bridge', the blue channel identified by Egrag. This channel apparently acts as a support area, and XRP has mostly remained above it since the beginning of 2017.
Although XRP has been in a downtrend for the past seven years, its price action on the monthly time frame indicates that it has not broken a critical support line. Since the beginning of 2021, the XRP model has shown an upward trajectory within this channel, indicating a gradual bullish momentum.
Egrag first highlighted the Bifrost Bridge in October, describing it as an extremely bullish trend line that has provided consistent support for XRP. He noted that XRP has remained above this line for nearly a decade, and there have been no major price closures below it in the last seven years.
In his latest analysis, Egrag left the floor open for community members to offer their own viewpoints.
Community Reaction
Many commentators agreed that the XRP setup looks bullish, although some responded with a hint of sarcasm. One commentator noted that while the fundamentals suggest a bullish trend, the real question is whether XRP will miss this bullish cycle as it has before, or if it will rise this time along with other cryptocurrencies.
In response, Egrag pointed out that liquidity is increasing, Bitcoin is gaining momentum, and liquidity is flowing into the market. He emphasized that if Bitcoin makes a significant move, it could lead to a decline in its dominance, which usually signals the beginning of liquidity rotation into altcoins. According to him, XRP could potentially rise 10-20 times in this cycle.
Currently, XRP is trading at $0.5121, which is 2% higher than yesterday's rate but 86% lower than its all-time high. Egrag urges traders to view dips as opportunities to accumulate more XRP, as he believes the bullish trend is on the horizon.
