Matthew Dixon, the CEO of Evai, a prominent figure in the cryptocurrency industry, has provided his insights on the future of the XRP price. Dixon’s analysis suggests that XRP, the native cryptocurrency of Ripple, is likely to undergo a significant downturn in the near term, potentially plummeting to around $0.34. However, he also anticipates a subsequent rebound that could see the price surge beyond $0.6.
Does he have some substance to back up this claim? Let’s explore.
The Elliot Wave Theory
Dixon, known for employing Elliot Wave Theory to analyze market trends, took to Twitter to express his insights on XRP’s price trajectory.
The Elliot Wave Theory, pioneered by Ralph Nelson Elliott in the 1930s, is a methodology widely used by traders to identify patterns and predict price movements. According to this theory, price movements occur in waves, typically consisting of five “impulse” waves followed by three “corrective” waves.
Drawing upon this theory, Dixon’s analysis points to the current phase of XRP being the final impulse wave, referred to as the “X wave.” Following this, he expects a corrective wave, known as the “Y wave,” which could trigger a temporary decline in the price. However, Dixon maintains a bullish stance, projecting a strong rally for XRP after this corrective phase.
XRP Price On Edge
However, at present, XRP is trading at $0.461188, marking a modest 0.7% increase for the day and a 9.3% rise over the past week, according to CoinGecko data. It’s worth noting that XRP still has a far way to cover and reclaim its all-time high of $3.4, a record set more than five years ago in January 2018.
Also Read: Is XRP Really A Security? Attorney’s Shocking Revelation Raises Eyebrows – Coinpedia Fintech News
Overall Dixon’s predictions indicate that investors should prepare for a potential initial drop in XRP’s value, which may present a buying opportunity. However, he also foresees a subsequent surge that could propel the price beyond the $0.6 mark. If his analysis proves accurate, it could offer significant potential returns for those who have the patience and resilience to withstand the initial losses.
“This is once again an EXCITING time to be in #CRYPTO Don’t miss the boat #Evai”
Source: https://coinpedia.org/altcoin/ripple-news-xrp-price-might-drop-to-0-34-in-coming-days-but-theres-a-catch/