XRP recently crashed to a low of $0.60 amid the market-wide correction, but prominent market analyst EGRAG believes the $1.4 price target is still achievable.
In an analysis on X, EGRAG spoke on the recent market-wide collapse that saw Bitcoin (BTC) plummet by 5.79%, Ethereum by 5.41%, and XRP by 6.50%. Highlighting XRP’s collapse, the analyst stressed that the unfortunate event erased long positions held by market participants.
As The Crypto Basic revealed yesterday, investors witnessed $320 million in long liquidations within 12 hours amid the market decline. Data from Coinglass confirms that XRP alone recorded $7.05 million in long liquidations, making up 97% of the total liquidations the crypto asset saw yesterday.
Interestingly, several market watchers hold the opinion that these correction-induced liquidations were necessary to sieve out weak hands. XRP has still not recovered from the collapse yesterday, and it is currently down 0.50% over the past 24 hours. EGRAG noted that the drop underscores the unpredictability of the crypto market.
He reiterated that riding on market trends and entering positions on the market could lead to substantial losses for investors, as evidenced by the latest chain of events. However, the market analyst emphasized that his earlier projection of an XRP rally to $1.4 is still on track.
XRP Still on Track to $1.4
Notably, on Sept. 21, EGRAG unveiled the “Color Code” analysis, suggesting that XRP’s path to $1.4 features multiple price territories, each identified with a unique code, that could serve as pivotal regions for the cryptocurrency to overcome.
EGRAG has since updated the positions of the color codes based on changing market realities. Currently, the first region, in red, represents the Red Flag zone. This is a bearish territory between $0.3536 and $0.5119. Fortunately, XRP has towered above the region.
The second territory, in yellow, is the Wicking zone, currently between $0.5119 and $0.5738. The third area is a white position representing the Ranging zone, currently within the price range of $0.5728 and $0.6432. The next region is the Consolidation area, represented in blue, ranging from $0.6432 to $0.7409.
The last territory is a green area called the Bullish zone, the most extensive region. This area spans $0.7409 through the ultimate price target of $1.4. Trading for $0.6230 at the reporting time XRP currently sits within the Ranging zone.
To claim the $1.4 price target, XRP would need to break through to the Consolidation zone and from the Consolidation zone to the Bullish region. The digital asset would still face some pivotal resistance points within the Bullish zone before it hits the $1.4 target.
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.
-Advertisement-
