In a detailed analysis, crypto analyst Egrag has predicted a remarkable 2450% increase in the XRP price, citing a bullish crossover in the 2-week (EMA) has exceeded. MA). This pattern is usually seen as a harbinger of substantial price increases.
Eggag, via a after via X highlighted the importance of this development: “XRP CONFIRMED KABOOM: […] In the span of two weeks, we have witnessed an exciting development as the 21 EMA has crossed the 55 MA. This bullish crossover has historically signaled the start of significant price explosions.”
Bullish Crossover Heralds Massive XRP Price Rise
The analysis highlights two previous cases where similar patterns led to significant price movements. The first, called ‘Kaboom A’, took place between early 2015 and early 2017. During this phase, XRP’s market capitalization ranged between $142.642 million and $349.476 million. Following the bullish crossover of the 21 EMA over the 55 EMA on the 2-week chart,
There was a shorter cycle from December 2020 to April 2021. Once again, a bullish crossover of the 21 EMA above the 55 MA in the 2-week chart was initially seen. As a result, XRP’s market capitalization rose from $0.7.67 billion to over $88 billion (and thus its price to $1.96).
In the current “confirmed KABOOM cycle,” XRP’s market cap is hovering above $35.235 billion, which again amounts to the 0.5 Fibonacci level. At the time of writing, this amounted to $37.516 billion.
Egrag delved into the current situation and explained:
Particularly in the previous ‘Kaboom A’ phase, the Fib 0.5 level acted as a clear launching pad. In the current ‘Confirmed KABOOM Cycle’, XRP’s market cap is once again recovering from Fib 0.5, indicating an impending ‘Kaboom Cosmic Ignition’.
However, XRP’s market cap is currently facing several key levels. Egrag emphasizes the critical nature of the market capitalization of $51.3 billion, which coincides with the Fibonacci level of 0.702. A close above this threshold on the 2-week chart could trigger a significant rally for XRP, or as Egrag puts it: “XRP closing above the $51.3 billion Fib 0.702 level could be the turning point for our victory .”
Remarkably, Egrag highlights another crucial resistance level on his chart, a descending trendline (red dotted line) that has formed since the peak in January 2018. According to Egrag, a breakout above this level could trigger a rally of more than 2450% (of the current market capitalization and price).
The ultimate target for the XRP market cap could be the 1,618 Fibonacci extension level of $283.489 billion and the 2,618 Fibonacci extension level of $959.663 billion. The latter would translate into an XRP price of $17.94.
Questions from the community
In response to questions from the community, Egrag explained the meaning of the $51.3 billion level: “This is a macro-resistant range, because closing multiple weekly candles above this range means you will never buy XRP below this price or in cents see, we will see XRP price only in dollars.”
When asked about the likelihood of another price test ahead of a hike, Egrag admitted: “Possibly, but it will be a rewarding process while we sleep,” suggesting any pullbacks could be short-lived.
At the time of writing, XRP was trading at $0.6928.
Featured image from Kanchanara/Unsplash, chart from TradingView.com