According to Egrag, a drop to $0.22 is also likely to play out if the current downtrend persists.
XRP could surge to a high of $1.4 upon the reversal of the current downtrend the asset has been caught in since May 2021, according to Egrag Crypto, a notable cryptocurrency analyst. The last time XRP saw the $1.4 price point was in May of 2021.
Egrag’s latest forecast is influenced by a falling wedge pattern formed by XRP in its current 21-month downtrend. He highlighted two possible scenarios that could play out for the asset at its current position: a dip to $0.22 in the event that the downtrend is sustained, and a surge to $1.4 once the trend reversal kicks in.
For context, a falling wedge pattern is a bullish reversal pattern that occurs when the price of an asset is moving downwards but the price swings start becoming smaller and smaller down the slope, forming a wedge shape. This pattern is considered bullish because it suggests that the selling pressure is diminishing, and the buyers are gaining control – a trend that could potentially lead to a price increase.
Egrag believes the $1.4 price point would play out once XRP starts experiencing a trend reversal. However, he disclosed that the Fibonacci point at $0.786 would serve as a significant resistance point for the asset’s price movement. Notably, if XRP can conquer the resistance at this level, its bullish run to $1.4 becomes even more likely.
Amid the bullish speculations regarding the outcome of the legal battle between Ripple and the U.S. SEC, several market watchers have forecasted a potential massive rally for XRP. Analyst Crypto Bull noted yesterday that the asset is currently forming a similar bottom pattern to what was observed in 2017 before its meteoric rise. “Pay attention,” he said.
Moreover, XRP advocate and analyst Alex Cobb also forecasted a massive rally from this point, signaling that XRP is currently in “the biggest triangle of all time.” Though Cobb’s prediction of a rise to $10 has been met with dispute, most of these contrary views still remain bullish. XRP is currently trading at $0.4096 as of press time, down 0.46% in the past 24 hours. The asset is currently aiming to establish a comfortable position above the $0.41 level.
