Analyst MichaelXBT predicts a “mega” XRP breakout as the cryptocurrency shows signs of ending a 7-year consolidation pattern.

XRP benefited from the booming market on Saturday, spurred by Bitcoin’s surge to $65K. Following Bitcoin’s lead, XRP rallied to just above $0.63, posting gains of up to 6%. This Saturday pump has boosted the confidence of market watchers focused on XRP.

One of these observers, MichaelXBT, a seasoned analyst with over a decade of market experience, shared on X that a significant XRP uptrend is on the horizon. In his words, the “sacred XRP mega pump is imminent.”

Michael’s latest analysis builds upon a previous update in which he confidently predicted an imminent historic breakout for XRP. Notably, in the original post, he emphasized that in his decade-long experience trading cryptocurrencies, he had never witnessed a 7-year-long bull pennant formation—until now, with XRP being the exception.

Based on this observation, Michael expressed that the crypto market might be about to witness one of the most significant breakouts in history.

XRP Seven-year-long Bull Pennant 

The observed seven-year-long bull pennant concerns the downtrend XRP has been experiencing since 2018 after it set an all-time high. Since then, XRP’s price actions have been characterized by lower highs and lower lows, ultimately forming a giant symmetrical triangle.

Many other market watchers have observed this formation and have consistently called attention to it, warning that a trend reversal is imminent.

Michael is so confident in his projection for XRP that he boldly claims that his chart will be worthy of being framed in the Louvre Museum as a masterpiece of technical analysis. 

He is convinced that when the breakout occurs, the price surge will be so swift and intense that market participants will be caught off guard, leaving them little time to react to the rapid price movement.

Notably, it has been over six weeks since his initial calls for an imminent historic rally. However, the event has yet to happen, and XRP has remained within the same price channel.

Michael’s XRP Price Target for “Mega” Rally

Interestingly, while Michael is optimistic about XRP, he is not targeting overly bullish price points despite his repeated calls for a “mega” or “historic” rally. 

Specifically, he only targets $2 for XRP, which is significantly below its all-time high of $3.84. Meanwhile, he has publicly disclosed that XRP hitting $2 would net him a quick $1.5 million.

Michael has also continuously cautioned against projections suggesting XRP would trade beyond $2 this season. He believes the 2017 history many analysts rely on is no longer valid and that the returns this time will be diminished. The analyst stated that those anticipating higher targets would be used as exit liquidity.

Market commentators continue to project bullish targets for XRP for the ongoing market cycle despite the prevalent underperformance.

In a recent analysis, a prominent market analyst, Spectre, set a bullish price target of $10 for XRP within the current market cycle. However, this target comes with a caveat—Spectre remains cautious, noting that the situation will become clearer as the cycle progresses. 

A Bullish $10 Target

An accompanying chart presented shows a web of patterns and trend lines, each contributing to the overall outlook. 

Over the past few years, XRP has displayed volatility, featuring sharp rises and steep corrections. The price movements have formed a symmetrical triangle since 2021, indicating an extensive consolidation phase. Multiple analysts have called attention to this symmetrical triangle in previous analyses.

Spectre expects XRP to eventually break out of this triangle in the current market cycle. Using an orange line, he illustrated an expected parabolic rise. 

This line intersects with key Fibonacci levels, including 1.618 and 2.618, which are often considered critical in determining potential resistance and support areas. The projection suggests that XRP could reach a price near $5.61, and subsequently $10.

However, it’s important to note that the chart also indicates potential retracement levels. It spotlights lines that could act as significant barriers to XRP’s ascent. The first resistance level appears near $1.96, a point XRP has struggled to surpass in the past. Beyond this, $4.70 emerges as a critical level to watch. 

XRP Shows Weak Bullish Momentum

Meanwhile, as of the latest data, XRP changes hands at $0.5968. It currently trades above the middle Bollinger Band, or the 21-day moving average (MA), which stands at $0.5857. This position suggests a moderately bullish trend.

However, XRP remains below the upper band at $0.6236, indicating that while the price is trending upwards, it has not yet reached overbought conditions. The lower band at $0.5478 acts as support, and as long as XRP remains above this level, the bullish sentiment is likely to persist.

In addition, the DMI indicator shows a +DI at 23.91 and a -DI at 18.15. A higher +DI compared to -DI indicates that the bulls are currently in control. However, the ADX line, which measures the strength of the trend, is relatively low at 15.33. This low ADX reading suggests that the current trend, although positive, is not particularly strong.

While XRP continues to struggle in the crypto market, prominent market observers are unfazed by its unimpressive performance as they anticipate up to 1,000X growth.

At press time, XRP is back below the $0.6 range, with an overall negative trend in the last 24 hours. While XRP has advanced by 5% over the past week, its cumulative price action over the last 30 days shows a flat trend, at a 0.54% decrease.

Notably, XRP is 84% below its all-time high (ATH) and also lags behind most of the top-ranking crypto assets in yearly performance.

While XRP’s movement has been frustrating holders for an extended period, analyst Alex Cobb believes the asset has checked all the boxes to blast to an all-time high this cycle. 

Specifically, Cobb asserted that market participants parting ways with XRP now are making a costly investment decision, which he described as “retarded.” Backing his sentiment, he highlighted several key factors that suggest a bullish outlook for XRP.

Why Selling XRP Now is “Retarded”

Cobb pointed out that XRP has broken above a long-standing resistance level on its monthly chart, an observation several other analysts also agree with. One has even argued that XRP could witness the biggest price rally ever based on the observed monthly pattern.

Furthermore, Cobb noted that the XRP/BTC pair has bounced from the historic low it reached in July. This implies that XRP is now showing signs of a strong rebound against Bitcoin from its bottom. This is confirmed by the consecutive week of green candle close.

Moreover, the analyst highlighted that the dominance of XRP in the crypto market has also bounced from a low point. Indeed, XRP.D is up 1.10% in the past week and 11.9% in the past month.

Also, he cited the trendline holding XRP’s price to ransom for nearly seven years as broken, suggesting XRP is free to soar.

Cobb’s optimism about XRP is also backed by anticipation around a possible XRP ETF. This prospect has fueled investors’ excitement as it could drive demand for XRP, helping its price increase.

Lastly, he cited the recent resolution of the SEC case against Ripple. XRP enthusiasts believe this lawsuit hindered XRP’s progress in the last bull run. But now that it is over, the asset could see an impressive uptrend. 

XRP to Rally by 1,000X

Considering the weight of these factors, Cobb didn’t mince words when expressing his confidence in XRP’s potential, stating, “Selling XRP right now is retarded.”

While Cobb was silent about XRP’s potential target, analyst Mickle proposed that the much-expected XRP uptrend will drive the asset by 1,000X or 100,000%, potentially putting it at approximately $600.