Based on historical data, market analyst EGRAG believes that XRP has the potential to rise to $27, which corresponds to the 1.618 Fibonacci level on the weekly time frame.
EGRAG made this claim in its latest analysis of XRP price action amid ongoing market uncertainty. After a period of sustained resilience, XRP eventually succumbed to bearish pressure. Consequently, it recorded larger drops than Bitcoin (BTC) recently, down more than 8% over the past three days.
Strong symmetrical triangle
However, despite the bearish sentiment, EGRAG expects XRP to perform exceptionally well as the market matures. In its latest analysis, it showed XRP remaining in the weekly symmetrical triangle against the backdrop of continuing price dynamics.
#XRP Half Pump to 1.618 Fibonacci 🔥
If history repeats itself halfway through, we’re looking at $27.#XRPArmy STAY STILL 💪 Our time is coming! 🕒 pic.twitter.com/uQvlg0NJjS
— EGRAG CRYPTO (@egragcrypto) July 3, 2024
This symmetrical triangle pattern began in early 2017 after XRP’s impressive performance that year. XRP eventually reached a new ATH of $3.31 in January 2018 before experiencing a correction. Since then, the token has continued to trade in a symmetrical triangle, which has persisted for seven years now.
The EGRAG chart shows that XRP observed a similar symmetrical triangle from late 2013 to early 2017. Interestingly, after breaking the upper trendline of the triangle, XRP jumped 7,673% to $0.3988 in May 2017. The analyst believes that a similar rally will occur once XRP records a breakout of the current triangle.
XRP eyes $27
At the time of his assessment, XRP was changing hands at $0.4689. A 7.673% increase in XRP’s value from that level would push the price to an ambitious $27. EGRAG noted that this price level coincides with his 1.618 Fibonacci retracement area.
Notably, the market analyst continued to predict a rally to $27, citing different factors in each analysis. For example, four months ago, he hung up his projection on a bullish crossover between the 20-day and 50-day SMA. This was also inspired by the price action of 2017.
Moreover, in January EGRAG identified a giant bowl-shaped formation on the 2-week chart. The analyst also predicted that a breakout could push XRP to $27. Meanwhile, in December last year, it reasoning for the $27 forecast there was a pump from the third Elliott wave of XRP. In October 2023 EGRAG claimed $27 was inevitable.
Notably, these consistent forecasts indicate the analyst’s conviction. However, XRP’s prospects for reaching $27 remain uncertain. The crypto asset will need massive market demand support to have a chance at this price level.
One of the main factors that could increase the chances of such growth is an increase in savings. The base cryptocurrency recently confirmed that XRP addresses holding at least 1 million tokens have surged this year, a trend driven by a buy-the-dip frenzy that has caused massive accumulation among sharks and whales.
However, in a contrary move, CryptoQuant data shows that investors deposited over 372 million XRP on Binance on July 2. This development, which has dramatically increased the XRP exchange reserve on Binance, could lead to increased selling pressure. Notably, XRP is currently trading at $0.4426.
