Renowned market analyst JD has predicted a potential price explosion for XRP after a decisive retest of its market dominance level at 1.03.%.
The forecast comes amid growing interest in XRP and renewed optimism in the cryptocurrency market. Notably, XRP Dominance The chart measures XRP’s position by market cap compared to the overall market. When XRP’s price rises, its market cap also rises, leading to increased dominance.
XRP Dominance Retests 1.03%
In his analysis, JD noted that the last time XRP dominance tested the 1.03% level, it resulted in a staggering 650x price increase. This historical data forms the basis of the current bullish outlook.
#XRP – Last time XRP.D tested 1.03%, that’s 650x! We just retested 1.03% and bounced off it!
Ignore all the partnership rumours/nonsense from influencers who endorse you on REKTin!
I called from below, now I’ll call from above!
Retweet/Like for updates after lockdown! #DoNotKnowWhatYouHoldLOL!!… pic.twitter.com/WGVwLjgIrt— Jay Dee 🇵🇭 (@jaydee_757) July 16, 2024
The accompanying chart shows that XRP dominance peaked at around 18% in early 2018, followed by significant price spikes. These spikes include a jump to $0.39 (39x in 56 days) and a spike to $3.31 (17x in 28 days).
However, the chart also highlights a notable crash, where XRP dominance fell by 50% to 0.19% in 203 days. The crash was the result of XRP correcting from its all-time high of $3.31 in January 2018. Since then, XRP has continued to is losing its dominance in the market capitalizationand is now the sixth largest asset by valuation.
Recent activity shows XRP dominance, retesting the critical 1.03% level and bouncing off it. This retest is significant as it reflects the conditions that led to the previous 650x price increase. Interestingly, the 1.03% level has proven to be a critical support level, having been tested multiple times.
Although JD chose not to provide a price target for his analysis, a repeat of the 650x increase could lead to even greater heights for XRP. This 650x increase from the current price of $0.6212 would lead to an ambitious target of $403.78.
The chart also shows a long-term descending resistance line starting from the 2018 peak and touching several lower highs. This trend line suggests that a break of this resistance could signal a significant increase in XRP dominance.
XRP Shows Bullish Trend, Up 42% in a Week
JD depicts potential moves for XRP with upward arrows, indicating possible surges in dominance. If XRP manages to break the descending trendline, it could lead to a significant rally. Against this bullish scenario, JD confidently called a bottom. However, he was unable to provide any price projection.
Current XRP price action data further supports the bullish outlook. XRP is currently trading at $0.6212, representing a significant 24-hour gain of 7.21%. XRP has also gained 42% in the last week. The Ichimoku Cloud shows XRP breaking above the cloud, indicating a potential bullish trend.
In addition, the Fisher Transform shows bullish signals. The Fisher Transform value is 2.42, above the signal line at 1.97. This suggests that the current price momentum is strong and is likely to continue in the short term.
