XRP investors are facing both a legal battle and a challenging price situation. Recently, XRP has seen significant price swings, leading to a crucial question: is XRP on the verge of a breakout? Let’s explore an exciting prediction about XRP’s price movement.
Renowned crypto analyst Steph has made a compelling prediction: XRP could be on the brink of its most significant price rally yet, driven by rising global liquidity. His latest report highlights how XRP’s price has historically correlated with increases in global liquidity, suggesting that these past trends may soon repeat.
A Look at XRP’s Historical Trends
Steph’s analysis points to earlier cycles where liquidity inflows boosted XRP’s price. Notably, during the 2017-2018 and 2020-2021 periods, XRP experienced impressive rallies as liquidity rose. For example, from 2017 to 2018, XRP’s price surged by an astonishing 60,000%, reaching a peak of $3.31 in January 2018. Interestingly, XRP lagged in the early stages of the 2017 bull run before making a dramatic rise.
The cycle from 2020 to 2021 also showcased XRP’s strength, even with ongoing legal challenges from the SEC. During this period, XRP climbed to $1.96 by April 2021, demonstrating how broader market liquidity can significantly impact its price.
Watch out for the Short-Term Signs
While the long-term outlook is optimistic, short-term caution is essential. If XRP fails to break above the $0.55 resistance level and experiences increased selling pressure, important support levels to watch are S1 at $0.5309, S2 at $0.4926, and S3 at $0.4305. Current data from CryptoQuant indicates that XRP’s Relative Strength Index (RSI) is at a neutral 59, suggesting potential for upward movement without becoming overbought.
Additionally, the Stochastic oscillator is neutral at 55.4, showing a balanced market sentiment without strong bullish or bearish forces currently in play.
Current Market Scenario
Currently, XRP is underperforming, reflecting trends seen in 2017. As of now, XRP is trading at $0.5445, down 0.04% for the day. The altcoin has been consolidating within a symmetrical triangle pattern since early October, highlighting the key resistance level around $0.55. A successful breakout above this level could open the door for further gains, with the next target set at $0.5929.
Additional resistance levels include R1 at $0.6549, R2 at $0.6932, and R3 at $0.7553.
With the potential for significant gains on the horizon, XRP investors have every reason to stay vigilant. Will the breakout be this time?
Source: https://coinpedia.org/news/xrp-news-today-will-global-liquidity-drive-xrps-next-big-move/