A surge to $3.3 would mark a 640% increase in XRP’s current price.
Historical data suggests that XRP might be looking to repeat the falling wedge pattern it observed from 2020 to 2021 before it surged to a high of $1.84 in April 2021.
XRP has been in a downtrend for the past two years, but historical data suggests the asset might be gearing up for a rally to a $3.3 price point. Egrag, a prominent crypto analyst, recently called attention to this potential, citing a falling wedge pattern observed on the asset’s 5-day chart.
#XRP Pandora's Box:
I have copied the movement of #XRP from 2020 to 2021 when it broke the Falling Wedge & Placed it to the current market price. It was amazing that it is respecting some Key-Price targets.
This movement will Pump #XRP to $3.3… pic.twitter.com/0nB2wbcowC
— EGRAG CRYPTO (@egragcrypto) May 11, 2023
Egrag drew parallels between XRP’s price movements from 2018 to 2021 and the asset’s current price actions. Notably, after hitting its all-time high in January 2018, XRP faced fierce resistance, which battered it into a downtrend throughout that year. XRP dropped significantly until it hit a low of $0.10 in March 2020.
This downtrend resulted in a falling wedge pattern. A falling wedge is a bullish pattern characterized by converging trendlines sloping downwards. It is formed when the price of an asset consolidates within a narrowing range, with lower highs and lower lows. The pattern suggests a potential trend reversal.
Expectedly, after the downtrend, XRP saw a reversal of the market trend that began in 2020 and spilled into 2021, leading to a high of $1.84 in April 2021. Following the local top in 2021, the asset got caught in another downtrend that has endured up to this point.
Egrag has identified a similar falling wedge on the charts. The analyst is forecasting a similar surge, much like between 2020 and 2021. His price target for the upcoming surge has been set to $3.3, a 640% increase from the current prices.
Previously, another analyst also forecasted a rally to the $3 territory.
The XRP Pandora’s Box
However, Egrag has pointed out that XRP will be caught in a territory he calls the “Pandora’s Box” on its way to the $3.3 price goal. According to the analyst, Pandora’s Box territory is between the critical key price range of $0.55 and $0.67.
Egrag emphasized that, at this price range, the XRP community might face several challenges that would test their resistance. He forecasted that the following “evils” could occur within the Pandora’s Box territory:
- Strife: The XRP community may experience conflict or disagreement due to differing opinions and interests. He noted that they are currently facing this.
- Disease: Some individuals may criticize the XRP community and spread negative narratives, branding them as a “disease.”
- Hatred: The success and wealth gained by the XRP community could lead to resentment from others who may feel envious or left out.
- Death: There may be instances where extreme individuals issue threats or engage in malicious behavior towards members of the XRP community.
- Madness: Detractors who cannot comprehend the success of the XRP community may respond with irrational arguments.
- Violence: Verbal abuse and hostility directed towards the XRP community may escalate into physical confrontations or harm.
- Jealousy: Haters will exhibit strong negative emotions towards the XRP community stemming from jealousy.
Despite these forecasted evils, Egrag has charged the community to remain resolute. Meanwhile, XRP is trading for $0.4455, down 0.27% in the past 24 hours. However, the asset has retained a 3.44% gain in the past week.
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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.