Market analyst EGRAG recently discussed the next price direction for XRP from the current position, identifying the indicators to watch.
His recent analysis, which considered XRP’s price action on the weekly timeframe, comes as XRP faces a mild downturn despite the Bitcoin (BTC) push toward its all-time high. Particularly, XRP is down 2.87% this week, while BTC has gained 0.51% within the same period.
According to EGRAG, XRP’s price action depends heavily on the relationship between the 21-week exponential moving average (EMA) and the 33-week simple moving average (SMA).
EGRAG Reveals When He Will Offload His XRP Bag
He then revealed when he plans to sell off his XRP bag, citing the relative positions of these moving averages. Specifically, the analyst plans to start offloading his XRP holdings when 21 EMA crosses below the 33 SMA, leading to what EGRAG calls a death cross.
He argued that this cross typically signals the top for XRP, suggesting the market is slipping into bearish territory. EGRAG believes several other analysts will expect the XRP price to push higher at that point. However, he is confident that the cross would mark a shift in trend from bullish to bearish.
Notably, to determine the potential extent of the collapse following this cross, he called attention to historical data. The market watcher confirmed that when this same bearish cross occurred in May 2018, XRP dropped 87%, and when it materialized in November 2021, the asset slumped 72%.
He expects the next bearish cross to result in a crash of around 79.5% for XRP. This figure represents the average of the past two corrections.
Potential XRP Price Targets from the Bullish Cross
However, EGRAG also called attention to the bullish side of his recent analysis, particularly the impact of a bullish cross between the 21 EMA and the 33 SMA. It bears mentioning that these moving averages observed a bullish cross in September 2024, when the 21 EMA crossed above the 33 SMA.
Following this bullish cross, XRP witnessed an impressive rally, soaring 520% above the $3 mark between November 2024 and January 2025. Nonetheless, EGRAG expects further upside from this cross, citing historical data from previous crosses.
The data shows that XRP soared 6,500% from March to May 2017 when the cross occurred in early 2017 and then rallied by another 1,600% from December 2017 to January 2018 when the bullish cross materialized in late 2017. The bullish cross occurred again in July 2020, leading to an 855% rise to $1.96 by April 2021.
From these previous upticks, EGRAG highlights price targets around $5.7, $9.5, and $37. However, the analyst suggests the most likely outcome for XRP would be a rally to $27. Notably, this represents a 1,600% increase from the value it traded for during the latest September 2024 bullish cross.
Historically, after hitting its target following a bullish cross, XRP has observed bearish crosses, leading to the downtrend earlier identified. Data from his chart suggests that EGRAG expects XRP to observe a bearish cross after reaching its $27 target, leading to the proposed 79.5% drop. Currently, XRP trades for $2.37.
DisClamier: 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 opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
