The price of XRP, the native token of the XRP Ledger, has been on a turbulent journey in recent years. After a meteoric rise to nearly $2 in April 2021, XRP has been in a slump, leaving investors questioning its potential for recovery as it’s now trading at $0.52 while BTC is at $62,000. However, a recent analysis by market analyst Jonathan Carter suggests that XRP might be on the cusp of a significant upswing.
The cryptocurrency strategist shared his analysis on the microblogging platform X (formerly known as Twitter), pointing to a symmetrical triangle on the cryptocurrency’s weekly chart, from which XRP could soon break out of.
The price of XRP has been trapped within this triangle for several years, reflecting a potential tug-of-war between buyers and sellers. A successful breakout, Carter said, would see XRP move upward significantly.
A recent price dip in April, mirroring a broader market correction, saw XRP retest the lower boundary of the symmetrical triangle. In technical analysis, such a retest is often viewed as a potential precursor to a breakout, where the price decisively breaches one of the trendlines, and the rest was interpreted as a potential signal for a breakout.
Should a breakout from the symmetrical triangle materialize, Carter projects an initial surge towards $0.93, a level XRP briefly touched in July 2023 following a positive development in the ongoing legal battle with the Securities and Exchange Commission (SEC).
However, Carter believes XRP will surpass this resistance level and reach a more ambitious mid-term target of $1.68, representing a staggering increase of over 200% from its current price level.
Despite the bullish analysis, the cryptocurrency market remains inherently volatile, and unforeseen events can significantly impact price movements. Additionally, the lingering SEC lawsuit, which centers around XRP’s classification as a security, continues to cloud the token’s future.
A negative outcome in the lawsuit could dampen investor sentiment and derail any potential price surge. Nevertheless, other analysts remain bullish, with Egrag Crypto recently saying a potential surge to the $4 mark is “feasible.”
Featured image via Unsplash.
