Ripple’s XRP followed the larger crypto market in the red this morning after a positive Friday session. As there were no new developments in the SEC v. Ripple case to offer guidance, XRP was left in the hands of the broader crypto market.

According to expert Egrag Crypto, XRP might soar to a high of $1.4 if it successfully reverses the current downturn in which the asset has been trapped since May 2021. In its current 21-month slump, XRP has developed a falling wedge pattern (This pattern is a bullish reversal pattern).

The analyst outlined two potential outcomes for the asset at its current price: a drop to $0.22 if the downtrend is maintained, and an increase to $1.4 once the trend reversal takes hold. The last time the price of XRP reached $1.4 was in May 2021.

#XRP Overlaying Chart:

Falling Wedges r considerably #Bullish & failure rate is somehow low. It can present as both

1) Continuation–> 0.22c is in play

2) Reversal Pattern–> $1.4 is in play

By overlaying Fibs, it shows that Fib 0.786 will play a major role in the next move

— EGRAG CRYPTO (@egragcrypto) February 3, 2023

When the price of an asset is heading downward but the price swings start getting smaller and smaller as they go down the slope, producing a wedge shape, a falling wedge pattern develops. This pattern, which implies that the buyers are taking control and the selling pressure is waning, is regarded as positive since it may portend an increase in price.

Egrag predicts that as XRP begins to see a trend reversal, the price of $1.4 would come into play. He did, however, mention that a crucial resistance level for the asset’s price movement would be the Fibonacci point at $0.786. Notably, XRP’s bullish run to $1.4 becomes significantly more possible if it can overcome the resistance at this level.

Since yesterday’s low of $0.4013, the price of XRP has been rising steadily for the past few days, and it is currently trading at $0.4150. The price has been able to climb above the crucial $0.4126 resistance level thanks to the bulls, and a good close above this level is likely to confirm that the current trend is up.

Was this writing helpful?

No Yes

Nidhi Kolhapur

Nidhi is a Certified Digital Marketing Executive and Passionate crypto Journalist covering the world of alternative currencies. She shares the latest and trending news on Cryptocurrency and Blockchain.