EGRAG Crypto, a prominent analyst, has identified a bullish engulfing candle pattern consistent on the yearly XRP chart, projecting an imminent rally.
His recent analysis comes on the back of what he believes is market “noise,” as XRP continues to consolidate around $2. For context, after reaching a peak of $2.65 on May 12, XRP has continued to observe losses, now stuck at the lower range of the $2 level.
Despite the bearish pressure, analysts like EGRAG believe the asset still has massive potential, calling attention to several bullish indicators on its chart across multiple timeframes. In the latest commentary, he leveraged the 12-month timeframe.
XRP Bullish Engulfing Candles
According to EGRAG, XRP has been witnessing bullish engulfing candles since its fifth yearly candlestick in 2017. For the uninitiated, a bullish engulfing pattern contains two candlesticks: the first is a small red (bearish) candle, and the second is a larger green (bullish) candle that fully covers the body of the one before it.
Notably, this formation often indicates that a downward trend may be shifting toward an upward move. EGRAG’s chart indicates that the first bullish engulfing pattern on the XRP yearly chart involved a small -0.68% red candle in 2016 and a subsequent large +33,066% green candle in 2017.
EGRAG says this pattern has continued throughout XRP’s history, playing out again for Candle 12 in 2024. The analyst indicated that the larger the timeframe for such a bullish signal, the greater the potential impact. As a result, an appearance on the yearly sign is “bullish as hell.”
XRP to Observe 13th Candle Breakout
Interestingly, amid the persistence of this pattern across several yearly candles, EGRAG believes the 13th XRP yearly candle might lead to impressive gains following the recent engulfing candle. Specifically, this 13th candle pertains to the current bull year, 2025, which is already showing a 6.53% gain at press time.
To present price targets for this projected growth, the market analyst turned to historical data. He cited the upsurge from Candle 9 in 2021, which led to an impressive 800% rise.
The analyst expects Candle 13 to replicate this rally. Interestingly, a repeat of the 800% increase would push the asset to a price of $17.
However, EGRAG’s chart also features three ascending lines that have dictated XRP’s price movements in terms of extreme price movements. Notably, one of these lines has served as support over the years, while two of them, specifically Lines 1 and 2, have acted as resistance.
XRP Price Targets and Market Noise
Interestingly, the $17 target from the Candle 13 upsurge lies perfectly between Lines 1 and 2. According to EGRAG, Line 1 lies on the $13 price, while Line 2 syncs with the $22 price. As a result, the analyst expects Candle 13 to push prices to $13 or $22, aligning with the resistance on one of these lines.
Meanwhile, as traders await this run, EGRAG suggested that XRP trading between $1.85 and $3.4 is market noise. Currently, XRP changes hands at $2.21. According to him, if the asset closes below $1.85, the current bull run is over. However, if it closes above $3.4, its price is on the verge of reaching double digits.
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.
