Renowned crypto analyst Egrag today provided fresh and in-depth XRP price analysis across multiple time frames. At the time of writing, the cryptocurrency is trading at $0.4825, marking a decline of around 12% since October 3, when it reached a high of $0.5478. Despite the bearish momentum fueled by the broader trend in the crypto market, Egrag projects bullishness over longer time frames.
Monthly chart XRP/USD
On the monthly XRP/USD chart, Egrag took to Twitter to share his insights, saying: “XRP Monthly Bullish Pennant – Super Bullish Sign: Are you spotting the pattern like I am? It’s incredibly bullish!” According to Egrag, trading on a monthly time frame reduces the chance of false signals.
He believes that a strong flagpole indicates a rapid increase in prices, and the ongoing consolidation phase is the banner. The current pause in the uptrend could potentially lead to further upward movement, especially if volume increases after a breakout. For this scenario to occur, XRP would not have to break out to the downside, but rather stay within the two approximate lines until the breakout to the north.
By measuring the height of the flagpole, Egrag expects that XRP could potentially rise above $24 (on a longer timescale) if it manages to break the bullish pennant pattern.
Weekly chart
For the weekly chart, Egrag noted: “It is clear that XRP is currently undergoing a retest phase after the recent breakout.” This sentiment is anchored in the wake of the Ripple Labs case against the US Securities and Exchange Commission, where the price broke out of a long-standing trend channel.
However, continued bearish sentiment in the broader crypto market, along with macroeconomic pressures, halted XRP’s momentum. Egrag points out the importance of the price range between $0.48 and $0.43, suggesting that it is crucial to stay above this line. A breach could cause the cryptocurrency to retest the fundamental zone between $0.25939 and $0.32630, which has shown robust support since 2017.
Nevertheless, if the altcoin successfully retests and remains above the trendline, Egrag foresees a possible retest of key resistance at $0.58304. If this is surpassed, it would set the stage for an impressive rally, potentially reaching $2. According to him, XRP would therefore enter the next higher ‘steel foundation’, the area between $1.6188 and $2.
1-day chart
For the daily XRP/USD chart, Egrag’s message was succinct: “XRP Army: Don’t miss the forest for the trees.” His analysis for this time frame focuses on the wicking range of $0.3875 to $0.4719, which he sees as the possible dip range if broader market pressures persist.
Only a decline below $0.3875 would negate the bullish pattern. If the cryptocurrency stays between $0.4719 and $0.5119, Egrag sees no reason to worry.
But for a bullish narrative to emerge, the token needs to move beyond USD 0.5119, aiming to reach the USD 0.5738 mark, which corresponds to the 50% Fibonacci retracement level. Egrag emphasizes that breaking this level is crucial for a broader rally, targeting the 1.618 Fibonacci extension at $1.4694.
At the time of writing, the
Featured image of Top1 Markets chart from TradingView.com