Market expert Tony Severino believes that the XRP price may have finally reached its lowest point against Bitcoin (BTC), indicating a potential price reversal on the horizon.
While Bitcoin has experienced an upward trend since December 2022, XRP has struggled to maintain consistent price movements during the same period, resulting in underperformance compared to the leading cryptocurrency.
Currently priced above $62,000, Bitcoin has seen a 261% increase since December 2022. In contrast, XRP has only experienced a modest 27.8% increase during the same timeframe. Some industry experts attribute this underperformance to the ongoing legal battle between Ripple and the SEC.
In July 2023, there were signs of a breakout for the XRP price following legal clarity in the United States. However, after reaching a high of $0.93 (0.00002970 BTC), XRP experienced a retracement, eventually plummeting to a low of $0.4225 in August 2023.
During this retracement, Bitcoin began its pre-bull phase rally in Q4 2023, resulting in a sustained downtrend for XRP in comparison to BTC. XRP has now recorded nine consecutive months of losses against BTC since August 2023.
However, there is hope for XRP as market veteran Tony Severino suggests that a bottom signal has been detected for XRP against Bitcoin on the monthly chart. This signal indicates that the continuous declines may be coming to an end, potentially leading to a trend reversal. This has increased optimism surrounding XRP’s price movements.
Similar trends were observed with XRP during the 2017 market cycle, where it initially performed poorly against Bitcoin and the broader market. However, after hitting bottom in February 2017, XRP outperformed BTC by 3,716% within a year.
Based on this historical performance, there is confidence in an upcoming upswing for XRP, especially since it appears to have formed a bottom. Analyst Charting Guy sets a target of 0.00006486 BTC per XRP during a rally, which would bring XRP’s value to $4.09 at Bitcoin’s current price.
However, it is important to note that most crypto market veterans, including the analyst, do not expect Bitcoin to remain stagnant. If Bitcoin reaches its targets for the current bull run, ranging from $85,000 to $100,000, XRP’s price could reach $5.51 to $6.48 if it skyrockets to 0.00006486 BTC after hitting the bottom.
In the short term, XRP is currently trading at $0.5213 and aims to recover from the 20.44% loss of the previous month. To achieve this, XRP would need to overcome multiple resistance levels, with a crucial one at $0.5582 (Fibonacci 0.5). Breaking above this level would bring XRP closer to $0.5916, a gateway to $0.60.
Disclaimer: This article provides informational content and should not be considered financial advice. The opinions expressed in this article are the author’s personal views and do not reflect the opinions of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions. The Crypto Basic is not liable for any financial losses incurred.