Cointelegraph recently provided an in-depth analysis of XRP, suggesting a massive surge is coming soon. According to Cointelegraph, the asset is quietly setting up for a rally to $1. However, $1 is just a milestone, as the digital asset could reach $4.2.
Despite a challenging year, this prediction offers a more optimistic outlook. Cointelegraph noted that the digital asset has failed around 15% this year while other assets have risen by about 20%. While the cryptocurrency’s price has lagged behind other digital assets, recent technical indicators hint at a possible turnaround.
A bullish Reversal Pattern Could Push XRP to $1
According to Cointelegraph’s analysis, the weekly chart reveals an inverse head and shoulders pattern widely regarded as a potential signal for a price rebound. This pattern is characterized by two peaks (the shoulders) with a larger dip (the head) between them.
XRP formed the left shoulder between May and December 2022, completed the subsequent head formation in June 2023, and is still forming as of August 2024.
Cointelegraph highlighted the neckline as a critical level to watch. The neckline is between $0.65 and $0.66 and connects the highs of the shoulders and head. Should the digital asset break above this threshold, it could pave the way for the token to reach a range of $0.9 to $1. Another prominent analyst recently predicted that XRP could hit $1 soon, adding credence to this analysis.
At the time of Cointelegraph’s analysis, XRP traded above the 50-week and 200-week EMAs, showing bullish momentum. Cointelegraph’s analysts noted that a decisive breakout above these crucial levels would strengthen the breakout.
The Journey to $4.2
The monthly chart adds to the optimistic forecast with a symmetrical triangle pattern often associated with large price movements. If XRP breaks above the upper trendline of this triangle, Cointelegraph’s analysis suggests that it could reach $4.2. While this long-term target is far from its current value, the technical structure offers a path toward it.
According to Cointelegraph, before XRP can approach this $4.2 goal, it must overcome immediate resistance levels between $0.71 and $1.05. These levels align with the 0.236 to 0.382 Fibonacci retracement levels, which frequently act as pivotal points in determining whether a price can continue its upward trajectory. Other analysts have also spotted significant bullish patterns on XRP’s chart, and the digital asset might reach these lofty heights very soon.
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