XRP, positioned as the fifth-largest cryptocurrency, could potentially witness a notable 18% upswing if the bullish continuation pattern on its daily chart is confirmed.
The recent consolidation in XRP’s price appears to be forming a “bull flag” pattern, a technical analysis formation that suggests the likelihood of another upward rally.
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A bull flag typically comprises a pole and a flag, with the pole representing the initial price surge and the flag signifying subsequent consolidation due to a lack of significant selling pressure.
A breakout from the current levels would redirect attention to the next resistance level at $0.732, representing an anticipated 18% gain. Following this breakthrough, XRP might set its sights on $0.75. However, overcoming this hurdle is crucial for signaling the initiation of a fresh upward trend.
One positive indicator is the concurrent accumulation of XRP by whales or large holders during the ongoing consolidation. According to on-chain data highlighted by crypto analyst Ali, XRP whales acquired approximately 11 million XRP in the past week, valued at around $6.82 million.
XRP has been steadily climbing since rebounding from its lows of $0.578 on November 22. A positive close today would mark the fourth consecutive day of gains for XRP. As of the latest update, XRP has risen by 2.13% in the past 24 hours, reaching $0.63.
Conversely, a downturn from the current level, resulting in a drop below $0.56, could signal the beginning of a more severe decline, potentially reaching $0.46.
Dr. Martin Hiesboeck, Uphold’s head of research, shared data indicating that XRP holds the top position as the most traded asset of the week on Uphold Ascent, an institutional OTC trading platform, and the Uphold wallet.