Ripple’s Support Holds Firm at $2.249— Potential for XRP to Reach $4 IF…
Following an impressive 334.27% surge in the previous month, Ripple’s XRP has paused its upward momentum to consolidate within a defined range, experiencing a slight 0.76% dip seen as a healthy correction by analysts.
Despite the current period of deceleration, CryptoCrypto affirms a strong probability of XRP breaking out to higher price levels in the near future.
XRP Aiming for a 66% Increase—Key Factors to Monitor
Following its recent surge, XRP is currently in a consolidation phase within a symmetrical triangle pattern, marked by converging support and resistance levels.
The rally momentum continues to be strong, with solid support at $2.2499 preventing any substantial retracement, thereby stabilizing the asset during this consolidation period.
Should the coin break out of this pattern, analysts suggest a further gain of 66.83%, potentially propelling the price to $4.0706, after which the buying pressure may ease.
Is an XRP Rally on the Horizon?
Current technical indicators cast doubt on the immediate likelihood of XRP’s anticipated breakout.
The Chaikin Money Flow (CMF), which assesses market sentiment based on liquidity inflows and outflows, is registering a negative reading of -0.04, indicating insufficient buying momentum for a sustained upward movement.
Likewise, the Bull Bear Power indicator, used to gauge market control between bulls and bears, shows a negative value of -0.0462, depicted by a series of red bars signaling bearish dominance.
These indicators collectively suggest that the coin currently lacks the necessary momentum for an upward surge and may see further declines as bears maintain their position in the market.
Long Traders Experience Substantial Losses
Over the last 24 hours, XRP traders have faced a wave of long positions liquidations, resulting in significant financial losses for those who had bet on a bullish rally.
The overall liquidation volume stands at $39.92 million, with long traders accounting for $30.78 million of this total, indicating a market sentiment aligned against a bullish market scenario.
Unless there is a clear and definitive change in technical and on-chain indicators, XRP’s potential advance towards $4 might find itself in a prolonged consolidation phase.