XRP’s defense of its weekly support is paving the way for a potential rally towards $1.33 as a reliable cup and handle pattern takes shape.
In recent days, the crypto market has lacked a clear trend, with prices mostly trading within a range. This consolidation has had a ripple effect on XRP’s ability to break through the $0.5 territory.
Despite facing a downtrend, XRP has managed to hold its ground above the crucial 50-day exponential moving average (EMA) after closing below it in May. Cryptoes, a market analyst, has confirmed that XRP has consistently defended its support on the weekly timeframe.
Looking at the chart data from Cryptoes, XRP experienced downward pressure in early April, causing it to drop 15% in just seven days to $0.5037. Although it recovered from the $0.50 region, XRP has struggled to reclaim the $0.60 territory and break above the upper trendline.
Nevertheless, the bulls have successfully protected XRP from falling below the significant weekly support within the $0.5 range. Cryptoes believes that XRP remains in a strong position on the weekly chart despite the market’s volatility, and anticipates a significant upward movement in the near future.
Another market observer, Dark Defender, also recognizes the bullish structure on XRP’s weekly chart. According to Dark Defender, the Fisher Indicator indicates that XRP has entered oversold territory. The Fisher Indicator converts price movements into a normal distribution, highlighting extreme levels to identify potential turning points in the market.
What’s interesting is that the oversold signal from the Fisher Indicator is just one of several factors fueling Dark Defender’s optimism. Dark Defender points out that XRP has formed a cup and handle pattern on the weekly timeframe, which suggests a potential breakout and continuation of the upward trend after a period of consolidation.
Dark Defender expects XRP to surpass its previous highs below $1. When XRP secures a breakout above the handle, Dark Defender predicts a spike to $1.33. It’s worth noting that XRP last reached the $1.33 price level during the previous bull run in November 2021.
According to Dark Defender’s chart data, if XRP breaks out, it could reach the November 2023 highs at $0.7476. From there, Dark Defender projects a possible 77% spike to the $1.33 price. Currently, XRP is trading at $0.5253, representing a 2.20% increase on the current weekly candle. The RSI sits at 46, suggesting potential for further expansion.
Please note that this article is for informational purposes only and should not be considered financial advice. The views expressed in this article are solely the author’s and do not reflect those 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.
