XRP has been caught in a symmetrical triangle, with the bulls and bears contending to determine its next direction.
Recent analyses indicate that XRP may be poised for a second wave of its latest massive rally. Despite the ongoing consolidation, XRP has been one of the top-performing assets in the crypto market, having increased by an impressive 37% in the past month. However, this consolidation has dampened bullish sentiment in recent times.
Bearish reports surrounding XRP have further exacerbated this trend. However, JD, a well-known crypto chartist, has advised investors to ignore these reports. Instead, the analyst suggests that XRP may be on the cusp of a significant breakout.
Pay attention to the charts.. $XRP is on the verge of something BIG!!
After weekly close, I'll have better confirmation. Stop listening to irrelavent news that does nothing but REKT people.. and pay attention to the TA 😉
Retweet/like for the #XRP chart after weekly close! 🙏
— JD 🇵🇭 (@jaydee_757) April 18, 2023
JD, however, acknowledged the need to evaluate XRP’s weekly close to verify his recent forecast. “Stop listening to irrelevant news that does nothing but REKT people.. and pay attention to the TA,” he remarked. Notably, bearish sentiments have brewed of late, due to Ripple’s exclusion of XRP from its Liquidity Hub solution.
As previously reported, Egrag, another prominent analyst, also predicted a significant breakout for XRP. However, Egrag emphasized that this breakout is dependent on recapturing the $0.58 price level. The analyst highlighted a robust resistance at this level and pointed out that XRP must convert it into support to initiate the breakout.
XRP Caught in a Symmetrical Triangle
Notably, XRP is currently trapped within a symmetrical triangle on the daily chart. The formation occurred following the asset’s surge to a ten-month high of $0.58 on March 29. A symmetrical triangle is a technical chart pattern that forms when an asset’s price moves within a triangular shape, with the upper and lower trendlines coming together at an equal angle.
The pattern indicates that a breakout in either direction could occur. However, assets often break to the prior trend they were in before forming the triangle. For instance, if the asset was in an uptrend before forming the triangle, the breakout may be more likely to occur to the upside.
Given XRP’s previous rally before forming the current symmetrical triangle, analysts are more optimistic about an upward breakout. Additionally, the recent positive development in the Ripple v. SEC case has further boosted this confidence. Notably, during the recent Congress hearing, SEC Chair Gary Gensler refrained from labeling XRP a security.
However, it is important to note that these are mere analyses of the asset’s price, and should not serve as investment advice. In the short term, XRP is aiming for the $0.55 price which could come into play if it can break through the crucial resistance at $0.5436. The asset is currently trading for $0.5204, up 0.72% in the past 24 hours. Egrag recently asserted that a drop to $0.40 is still possible.
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Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic’s opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.