XRP Predicted To Rally 250% After Final Price Dip: Crypto Analyst
30 January 2024 - 1:30AM
NEWSBTC
In his latest technical outlook, crypto analyst Dark Defender has
highlighted the key takeaways for XRP amid recent price action.
Since hitting a yearly high of $0.64 on January 3, the XRP price
has dropped -18.8%, leaving it at risk of further downside before
the bulls could take over. XRP Price Set For Final Dip? According
to the provided daily XRP/USD chart, the price closed below the
significant level of $0.5286. As a result, the RSI has been “forced
to stay below the Resistance Trend Line,” implying that bears are
currently in control, exerting downward pressure on the price.
Remarkably, the price has been in a symmetrical triangle formation
since November last year, which is considered a bullish
continuation pattern. The XRP price has already been rejected three
times at the descending resistance line. In tandem, the RSI on the
1-day chart has also formed a descending trend line. Each time the
price was rejected at the resistance line, there was also a
rejection of the RSI at the trend line. Related Reading: XRP Price
Will See 1,000% Rally When ‘Black Cloud’ Dissolves, What This Means
Yesterday, Sunday, it looked as if XRP could break above the rising
trend line of the RSI, and the price could follow suit and start
another attempt to break out of the symmetrical triangle. Dark
Defender wrote: XRP moved towards $0.52-$0.53 as we expected. The
target area was $0.5286 and XRP closed just above that level
yesterday and had a break on the RSI. This is a great sign for XRP
shortly to try the $0.60 Resistance […] But of course, will be more
than happy to see XRP breaking $0.6649 first & proceed with the
initial Fibonacci Target of Wave 3 at $1.88. However, this game
plan was invalidated as XRP closed below $0.5286 and the RSI trend
line. Now, the analyst identifies two key support levels, the trend
support at $0.5085 and the Fibonacci support at $0.4623. These
levels are now considered pivotal as XRP trades under the $0.53
threshold. Dark Defender emphasizes the importance of these
supports: “So, $0.5085 & $0.4623 supports become more important
now.” Related Reading: Key Requirements For Spot XRP ETF Approval
Revealed Amidst 4500% Price Surge Target The daily RSI indicator
also suggests that XRP is in the oversold region, which typically
indicates that the asset may be undervalued and could possibly
reverse to the upside. However, the analyst cautions that the
“weekly frame trumps the daily,” suggesting that longer time frames
may influence the asset’s price more significantly. “The more XRP
stays below $0.52, the more support becomes prominent,” he added.
Looking forward, Dark Defender anticipates a potential “wick below
these levels to complete this exasperating correction” and hints at
an eventual recovery, with expectations set towards “Wave 3 in the
end.” This reference to Elliott Wave Theory suggests that following
the correction, a strong upward trend could emerge. The final price
target would then be $1.88. Despite the current market conditions,
Dark Defender advises the community to maintain a positive outlook:
“Be positive and be strong since this will be over.” The statement
conveys a sense of resilience and long-term perspective amid
short-term market fluctuations. At press time, XRP traded at
$0.52297. Featured image from Shutterstock, chart from
TradingView.com
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