Market analyst Egrag Crypto once again raised eyebrows with his latest XRP price forecast, highlighting that the cryptocurrency finds itself at a crucial technical junction. This follows a week where XRP demonstrated resilience, rising by 2.07%, amid an optimistic broader crypto market mood despite the introduction of new U.S. trade tariffs.
Ascending Wedge Signals Possible Volatility — Where Will XRP Head?
In a post on April 5, Egrag Crypto unveiled a dual outlook for XRP, rooted in the emergence of an Ascending Broadening Wedge pattern. This often-debated megaphone-like formation, depicted by two diverging trendlines, tends to suggest rising volatility and investor uncertainty.
The Ascending Broadening Wedge is notorious for its unpredictability, offering a 70% likelihood of a downward breakout and a slimmer 30% for an upward move. Despite these odds, Egrag maintains that the potential for upside exists if specific levels are met.
The key, according to Egrag, is for XRP to achieve a closing price above $3.50. Accomplishing this would mark the coin surpassing the local peak of its present bullish phase, thereby indicating a significant upward trend. Following this, XRP bulls should fix their sights on the $5 level, which serves as an important resistance that could pave the way for the crypto’s next big move.
Egrag interestingly points out that if XRP doesn’t convincingly push past the $5 mark, it could complete the Ascending Wedge Pattern and heighten the likelihood of a breakout. Should a rejection occur here, XRP might revisit the $1.90 level before making another attempt towards $5, aiming this time to break through and settle above $6.
Cracking the $6 threshold would affirm a bullish trajectory and could unleash a rally into double figures, with a potential aim at $17.50 stemming from the Ascending Wedge Pattern. Yet, if XRP bulls fall short or depart from this path, the historical trend hints at a 70% chance for a downturn targeting about $0.65.
Current XRP Market Situation
Currently, XRP is trading at $2.14, having seen a modest 0.60% increase over the last 24 hours. However, its trading volumes have dropped by 62.92% during the same period, signalling reduced market activity and waning buying pressure following the recent uptick. To maintain an upward trend, it’s crucial for XRP bulls to overcome the resistance levels at $2.47 and $2.61 while also ensuring it doesn’t slip below the $2 support area.
