XRP Price Forecast: Chart Analysis Suggests Potential for Bullish Momentum
In recent insights shared by a Chartered Market Technician (CMT), the outlook for XRP is leaning towards a potential bullish surge. Analyzing critical technical indicators, this expert contends that XRP’s rally may still have considerable room to grow before hitting overbought levels.
Technical Indicators Point to a Bullish XRP Reversal
On December 18, crypto analyst Tony Severino, certified by CMT, took to the social media platform X (formerly known as Twitter) to discuss the promising signs of a bullish reversal for XRP. His analysis combines historical technical signals with the contraction of the Bollinger Bands (BB), suggesting an impending price rally.
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Severino admits to previously underestimating XRP’s bullish potential, expressing renewed confidence in its price prospects. He highlights the XRP/BTC quarterly chart’s strength, noting that the recent three-month candlestick closed above the Bollinger Bands basis at 0.00001717—a milestone not seen since April 2019.
The analyst observes that XRP has touched the upper Bollinger Band at $0.0000286, a level often linked with strong bullish momentum. A quarterly close above this threshold could serve as a buy signal for investors, especially given that the Bollinger Bands are at their tightest in the history of the XRP/BTC pairing.
Further supporting this outlook is the Relative Strength Index (RSI) on the quarterly chart, which stands at 47.87. This figure is on an upward trajectory towards 50, having already surpassed its RSI-based moving average at 43.44. Historically, an RSI above 50 is a marker of growing strength in a cryptocurrency, often preceding significant price movements.
Severino also points out that the Fisher Transform indicator for XRP is showing bullish signs. This tool, used to detect price turning points and trend reversals, has turned positive after a prolonged bullish divergence. This development enhances the potential for a price rally and a favorable market outlook.
Momentum Oscillators Suggest Extended Price Upside
Severino also highlights momentum oscillators, such as the Logarithmic Moving Average Convergence Divergence (LMACD) and the Stochastic Oscillator, as indicators of a potential price upswing for XRP. The weakening bearish momentum of XRP’s LMACD suggests it is nearing a bullish crossover—a significant indicator of a trend reversal on the XRP/BTC chart, pointing to further price increases.
The Stochastic Oscillator’s %K line has reached a peak of 71, suggesting a strong upward momentum could persist. This indicator also implies that XRP has not yet entered overbought territory, offering more room for growth. As of the latest data, XRP is trading at $2.36, reflecting a 6% drop from its previous price of $2.5 within the past 24 hours, as reported by CoinMarketCap.
Current price levels are maintaining support at $2.4, indicating stability despite recent fluctuations. The overall technical analysis presents a positive outlook for XRP, with multiple indicators aligning to suggest potential bullish momentum on the horizon.
