Cryptocurrencies have largely exhibited sideways trading recently, with few making significant moves, such as MakerDAO’s $MKR. Yet, $XRP, the XRP Ledger’s native token, seems to be treading the same waters as most cryptocurrencies. However, a prominent crypto analyst suggests that a breakout might be on the horizon for XRP.
CoinsKid, a popular analyst with over 270,000 subscribers on YouTube, recently highlighted a key technical pattern emerging on the XRP price chart. The analyst pointed out that a “head and shoulders” pattern has formed on the XRP chart. For those unfamiliar, this pattern is a tool for technical analysts to anticipate a potential trend shift. It depicts three peaks: the central peak (the head) is higher than the two surrounding lower peaks (shoulders). Typically, this pattern signals a bearish reversal, meaning the asset might pivot from an uptrend to a downtrend.
Interpreting this pattern, CoinsKid believes that if XRP adheres to this trajectory, its price could plummet to $0.46. However, in a twist, CoinsKid also identified an ascending triangle pattern on the XRP chart. An ascending triangle often indicates a bullish sentiment, hinting at a possible continuation of an uptrend. A consistent resistance line and an upward-sloping support line characterize this pattern. The pattern culminates when the asset price surpasses the resistance line with considerable volume. According to CoinsKid, this could propel XRP towards a significant resistance point.
Investment products centered on XRP have also witnessed inflows, especially from institutional players. In the past week alone, these products attracted over $700,000. A year-to-date analysis reveals that while Ethereum-centric products experienced outflows exceeding $115 million, Solana-centric products have gained $26 million. XRP-centric products attracted $14 million during the same timeframe, amassing a total assets under management of $60 million.
In conclusion, while most cryptocurrencies remain stagnant, XRP shows patterns that could herald significant price movements. Only time will reveal whether these predictions materialize.
*Disclaimer:
This content aims to enrich readers with information. Always conduct independent research and use discretionary funds before investing. All buying, selling, and crypto asset investment activities are the responsibility of the reader.
