Top Analyst Identifies What Needs to Happen for XRP to Hit $10

JD, a notable market analyst, recently identified two conditions necessary for XRP to rally to a $10 range in a breakout of a trendline that has dominated the asset for over five years.

According to data from a monthly chart, both conditions pertain to the movements of the Relative Strength Index (RSI) and the Stochastic Relative Strength Index (Stoch RSI). The analyst posits that these indicators need to cross over certain levels for the confirmation of an imminent breakout of the trendline.

Notably, XRP has continued to trade below the downward trendline since it dropped from the $3.31 all-time high in January 2018. Over the years, the asset has tried twice to break out of the trendline: when it rallied to $1.96 in April 2021 and when it spiked to $0.93 in July this year. Each attempt failed after meeting resistance.

Conditions for a Breakout

JD believes XRP might not be able to break the trendline until its monthly RSI crosses above a peculiar green line it has been moving under since May 2017. JD’s chart says the green line has existed for nine years, but recent data confirms it has merely lasted for six years and five months.

The green line has continued to slant downward, giving the RSI a greater opportunity to break above it. Notably, the XRP monthly RSI stood at 52.51 at the time of JD’s disclosure. Current data puts the figure at 52.35, with the indicator edging closer to a cross above the green line. 

In addition to the RSI breaking above the green line, JD called attention to another condition needed for an XRP breakout. Interestingly, he highlighted the Stoch RSI, noting that it has observed a bullish cross, as the %K line (blue) recently crossed above the %D line (orange).

However, JD emphasized that this bullish cross will not provide enough strength for an XRP breakout. According to him, both lines of the Stoch RSI (%K and %D) must also cross above 80. The 80 level is on a green horizontal line. 

JD confirmed that this move occurred in 2017 before XRP embarked on its massive rally. Currently, both lines of the Stoch RSI are a long way from the 80 level. Specifically, the %K line is at 65.46, while the %D line sits at 62.92.

XRP Targets: $3.5 to $10

JD already anticipates the fulfillment of his conditions, as he envisions an eventual breakout for XRP. The analyst has positioned a green box at his target range, with a minimum price target of $3.5 and a maximum of $10. 

Meanwhile, in the short term, XRP recently reclaimed the $0.60 territory for the first time since August. The asset trades at $0.6080, up 0.76% over the past 24 hours. With a $1.74 billion 24-hour volume, XRP retains the seventh spot in terms of largest trade volume.