Key takeaways:
The macro outlook for XRP remains positive, with some analysts predicting a cycle peak exceeding $20.
XRP’s symmetrical triangle indicates a possible bullish breakout with a target of $4.
XRP’s (XRP) price decreased by 22% to $2.72 from its multi-year high of $3.66 reached on July 18, before bouncing back to around $3.
Is the well-known altcoin at its peak, or is a significant rally ahead?
XRP macro outlook still “bullish”
XRP price movements show consolidation within a symmetrical triangle on the daily chart, suggesting that the altcoin may be gearing up for another bullish surge, as per analyst XForceGlobal.
The analyst stated that XRP’s target price of “$20 remains the primary cycle goal” in a recent X post.
Related: XRP’s 30% drop in open interest could create a buying opportunity below $2.50
Despite strong resistance around the $4 psychological level, the analyst noted that this does not change the overall bullish macro outlook, suggesting XRP may follow two potential scenarios.
The first scenario indicates that the recent price pullback resembles previous cycles, where the price dipped to establish new distribution levels before a significant breakout.
In a video, XForceGlobal mentioned that after nearly a 50% pullback from January 16 highs of $3.40, the price rebounded to retest that level with the recent surge to $3.66.
Thus, the latest decline could represent a period of distribution before a “notable move upward,” the analyst added.
In the second scenario, XRP distribution may continue to finalize the flat phase between Waves 1 and 2, setting the stage for a “massive” Wave 3 upward movement.
“In my opinion, we have two scenarios with the highest likelihood of success, and I believe we are on the brink of a significant upward shift,” XForceGlobal remarked, contributing,
“There are just no indicators pointing to a significant sell-off downward.”
The anticipated price target for XRP lies between $19 and $30 based on the outlined scenarios, as illustrated in the charts above.
XRP symmetrical triangle breakout targets $4
Currently, XRP is trading within a symmetrical triangle on the daily candle chart, with data from Cointelegraph Markets Pro and TradingView indicating this trend.
A daily candle close above the upper boundary of the triangle at $3 is required to confirm a bullish breakout. Beyond that, the next significant hurdle is the eight-year high of $3.66, which bulls must surpass to maintain upward momentum.
The measured target of the triangle is $4, representing a 34% increase from current levels.
The interpretation of the symmetrical triangle “makes sense considering the broader perspective for XRP,” said veteran trader Matthew Dixon in a recent X post.
An accompanying chart suggested that the consolidation within the triangle forms a distribution phase between Waves 3 and 4, leading up to a larger Wave 5 movement toward $4.
As reported by Cointelegraph, several technical indicators suggest a potential XRP breakout in the short term with price targets ranging from $4.40 to $6.
This article does not provide investment advice or recommendations. All investment and trading activities carry risks, and readers are encouraged to perform their own research when making decisions.
