- If XRP mimics the 2017 bull rally, it could reach an ATH in the coming months.
- It is crucial that the token first breaks above $0.58 before breaking above the pattern.
Like most cryptos, XRP The bears remained dominant in the market last week. However, the token showed signs of a slight recovery over the past 24 hours. TThe price of the token was about to break above a bull pattern.
XRP consolidates
While last week was a setback for XRP investors as the token’s price plummeted 5%, the coming days could be different. This was the case when a bullish symmetrical triangle appeared on the token’s chart in the long term.
Amonyx, a popular crypto analyst, posted one tweet reveal this pattern. To be precise, the pattern emerged in 2018 and since then the price of the token has been consolidating within it.
It was interesting to note that a similar pattern appeared on the token’s map in 2015.
Source:
During that time, XRP managed a bullish breakout in 2017, allowing the token to reach an ATH in the coming months. Therefore, if history repeats itself, investors may witness another similar episode in the coming months as XRP reaches new highs.
At the time of writing, the token was testing support from the bull pattern, and a successful test could allow the token to begin its journey towards resistance.
At the time of writing, the token was trade at $0.5304 with a market cap of over $29.8 billion, making it the 7th largest crypto.
Assessing the likelihood of XRP breaking out soon
Since the chances of a bullish breakout were high as suggested by history, AMBCrypto checked the token’s on-chain data. According to our analysis of Santiment’s data, XRP trading volume has declined along with its price in recent days.
Moreover, open interest followed a similar downward trend. Generally, a drop in open interest indicates a trend reversal, which in this case was a bullish signal.
In fact, investor confidence in XRP also appeared to have risen slightly over the past week as the total number of holders increased to 5.3 million.
Source: Santiment
Read Ripple [XRP] Price prediction 2024-25
Another bullish benchmark was the ratio long/shortwhich increased. This meant that there were more long positions in the market than short positions.
However, an analysis of Hyblock Capital’s data showed that XRP must first cross $0.58 to manage a bullish breakout.
Source: Hyblock Capital
