XRP Poised to Rise to $6.5 as Market Cap Holds Above 10-Year Trendline

XRP could be on the verge of a substantial rally to $6.5 amid resilience demonstrated by its market cap in holding above 10-year trendline support on the monthly chart.

This is according to separate analyses from two market watchers, EGRAG and JD. Each of these analysts presented a breakdown of XRP’s price movements, with a common conclusion: XRP is poised for a rally.

XRP to Hit $6.5

EGRAG’s analysis centers around measuring percentage moves during significant price pumps, requiring a staggering 300% or more increase within a single candle’s measurement. The breakdown of these moves ultimately averages a 1,160% surge in XRP’s value.

XRP to Increase 1160 | EGRAG Crypto

The post built on a previous report from the analyst in which he called attention to two XRP trading zones and the formation of a “Steel Foundation” that has historically acted as robust support for XRP’s price movements.

Notably, XRP traded in Zone A from 2013 to 2017, using $0.00485 to $0.00596 as the Steel Foundation (support). XRP broke above Zone A when it rallied in late 2017, creating Zone B and forming another Steel Foundation (support) between $0.25939 and $0.32630.

XRP is now trading within Zone B. However, in his previous analysis, EGRAG predicted that the asset was on the verge of breaking above this zone. He predicted the formation of another Steel Foundation at higher prices, specifically between $1.61880 and $2.00000.

Nonetheless, his previous analysis did not forecast a top price for XRP. This updated post now suggests a price pinnacle of $6.5 for XRP. EGRAG’s prediction of a price range between $6.5 to $7 aligns with the Fibonacci 1.618 level at $6.5.

XRP 4 Month Chart | EGRAG Crypto

XRP’s Market Cap Shows Resilience

Switching gears to JD’s analysis, we find another bullish projection. JD’s focus is on XRP’s market cap on a monthly chart. JD emphasized that the market cap has continued to hold above a 10-year trendline as support.

Data from the chart shows that XRP’s market cap has been defending the support at this trendline since 2015. Notably, while protecting the support, the market cap faced another three-year downward trendline from 2015 to late 2017.

XRP Market Cap 1M Chart | JD

However, it broke above the three-year downward trendline when XRP rallied in late 2017, hitting an ATH of $3.3 in January 2018. However, amid the retracement of the $3.3 high, XRP faced another downward trendline, which has persisted for eight years.

Interestingly, XRP’s market cap has continued to find support from the 10-year upward trendline. The convergence of the 8-year downward trendline and the 10-year upward trendline has led to a symmetrical triangle formation.

JD’s analysis suggests that a new rally could be in the making once XRP successfully breaks free from this 8-year trendline. XRP has shown resilience by staying above the 10-year trendline, and JD believes this could pave the way for another surge in value.

Meanwhile, XRP has recovered the $0.50 territory in the short term, currently trading for $0.5082. The asset is up 2.25% over the past 24 hours, with a 24-hour trade volume of $785.8 million.

Source