Reason to trust
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
Strict editorial policy that focuses on accuracy, relevance, and impartiality
Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.
Este artículo también está disponible en español.
The XRP price is gearing up for another bullish move upward, as a crypto analyst has predicted a 20% surge in the near future. This optimistic forecast is backed by the formation of a key technical pattern called the Golden Pocket and indicators including strong support levels and a critical resistance zone.
Golden Pocket Signals XRP Price Surge
According to TradingView analyst TehThomas, the XRP price is currently trading within a well-defined Ascending Channel, setting the stage for a potential 20% move upwards. In the 4-hour time frame, XRP has continued to respect this Ascending Channel, forming higher highs and higher lows — a key indicator of a sustained uptrend.
Related Reading
Interestingly, the most notable development in XRP’s price action is the appearance of a Golden Pocket on its chart. A Golden Pocket is a key Fibonacci retracement area that is often used to identify potential support and resistance levels. It represents a complete trend reversal for a cryptocurrency and a possibility of an aggressive uptrend.
The TradingView analyst has revealed that XRP’s current Golden Pocket aligns with an imbalance zone, an area of unfilled liquidity where prices typically revisit before resuming movement.
In the chart, XRP’s Golden Pocket sits between the 0.618 – 0.65 Fibonacci retracement level — a well-known area where the price usually finds strong support before continuing the trend. Historically, XRP has reacted twice from this key level, indicating that buyers have been actively defending this area.
TehThomas has predicted that as long as the XRP price can hold above the key Fibonacci retracement level, which also acts as a critical resistance, the cryptocurrency’s bullish structure will remain unchanged. Additionally, XRP could be primed for a massive rally toward the 0.618 Fibonacci extension level, which corresponds with the upper boundary of the Ascending Channel.
If this bullish momentum continues, it means that the analyst expects the XRP price to see a rally to a target between the $2.8 to – $2.9 range. This represents a 29% price increase from XRP’s current price of $2.2.
Short-Term Resistance Could Trigger Decline
TehThomas’s bullish outlook for the XRP price, the TradingView analyst noted that the 1-hour time frame presents short-term resistance, which could lead to a significant pullback before the next leg up. XRP recently faced a rejection at the imbalance zone, indicating that sellers are increasing activity at this level.
Related Reading
Previously, when the price struggled to break the imbalance zone, it highlighted a lack of liquidity to sustain a continued uptrend. A repeat of this could result in a retracement toward the Golden Pocket in the 4-hour timeframe.
Notably, a confirmed breakout from the 1-hour imbalance timeframe could reinforce XRP’s bullish momentum, supporting its projected move toward upper levels of the Ascending Channel. However, a failure could shift this bullish structure, leading to a deeper correction toward lower support levels.
Featured image from iStock, chart from Tradingview.com
Read the full article here