XRP, the native cryptocurrency of Ripple, is currently making headlines as it grapples with the pivotal psychological resistance level of $0.60. In a recent analysis, the unconventional market analyst EGRAG shared insights that could shape XRP’s price trajectory in the coming months. As XRP continues to hover around the $0.58 mark, EGRAG’s observations suggest that the altcoin could be poised for a significant breakout.
Understanding The Nike Swoosh Pattern
EGRAG identified a distinct “Nike swoosh” pattern in XRP’s price chart, which traces its roots back to January 2018. During this time, XRP was reeling from a catastrophic drop from its all-time high of $3.31. This decline marked a staggering 96% fall to a bottom price of $0.1140 by March 2020, creating the initial arc of the swoosh pattern.
Despite a recent attempt to breach the $0.60 resistance level on September 21, XRP faced fierce opposition from bears, resulting in a slight pullback to $0.59. Currently, XRP trades at $0.58162, reflecting a 1.87% decline over the past 24 hours. However, the formation of the swoosh pattern remains intact, indicating a potential for future gains.
Higher Lows and Upward Momentum
EGRAG’s analysis emphasizes that since hitting the low of $0.1140, XRP has consistently recorded higher lows. This upward trajectory is critical, as it forms the ascending end of the Nike swoosh. By respecting this curve as support, XRP has positioned itself to leverage upward momentum, reinforcing the bullish sentiment among traders.
As EGRAG notes, if XRP can maintain this structure of higher lows, a price surge could be imminent. The analyst draws a height from the downward sloping line that covers the initial swoosh, projecting a remarkable price target of $13—representing a staggering 2,135% increase from current levels.
Interestingly, EGRAG’s $13 target aligns with the predictions of other analysts. Matthew Dixon, CEO of Evai, and analyst Casi have also echoed similar projections, albeit through different rationales. This consensus among market experts adds credibility to the bullish outlook for XRP, further igniting interest among investors.
Short-Term Market Dynamics
In the short term, XRP continues to navigate the $0.6178 resistance at the upper Bollinger Band. Despite the recent drop, it remains above the middle Bollinger Band ($0.5714), which may act as a crucial support level should further declines occur. The Directional Moving Index (DMI) indicates a slight edge for bulls, with the +DI at 21.7 and the -DI at 20.15. However, the weak bullish momentum—reflected by the Average Directional Index (ADX) at 12.48—suggests market indecisiveness.
Also Read: XRP To $100 – What Would A $5.2 Trillion Market Cap Mean For Crypto?
As traders closely monitor XRP’s price movements, the next push could either solidify its breakout potential or lead to further corrections. The coming days will be critical in determining whether XRP can sustain its upward trajectory or if it will succumb to bearish pressure.
With EGRAG’s analysis spotlighting the Nike swoosh pattern and the $13 price target, XRP is undoubtedly a focal point in the cryptocurrency market. As the altcoin continues to battle the $0.60 resistance, its ability to maintain higher lows could pave the way for an extraordinary price surge. Investors and traders alike will be keenly watching XRP’s price action as it navigates this pivotal moment in its market journey.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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