Amidst the dynamic landscape of the cryptocurrency market, cryptocurrency market analyst Egrag Crypto has tweeted an intriguing discovery on XRP’s 2-month chart. The inverted hammer formation, historically a precursor to substantial rallies, has Egrag Crypto predicting an impressive surge for XRP after revealing a noteworthy pattern in its price movements. What’s more remarkable is the enduring stability of XRP’s market structure over 426 days.
#XRP: Anticipating Inverted Hammer Formation as 2-Month Candle Closes Tomorrow:
— EGRAG CRYPTO (@egragcrypto) August 30, 2023
In just one day, the two-month candle for #XRP is set to conclude its pattern, displaying the potential configuration of an inverted hammer formation.
Over the span of 426 days, #XRP has remarkably… pic.twitter.com/pgPHRAirdl
Unlike the often turbulent and unpredictable crypto market, XRP has managed to maintain a resilient foundation, strengthening investor faith and suggesting inherent stability. Throughout this year, XRP has consistently held above the Atlas line, showcasing its robustness in the face of market fluctuations.
XRP underwent a bullish transformation during this stability phase, forming the distinctive inverted hammer pattern between July and August. This pattern’s genesis was rooted in XRP’s sudden ascent to $0.9380 on July 13, following a protracted legal battle lasting over two and a half years, Ripple and the U.S. SEC have come to a verdict regarding the classification of XRP.
The inverted hammer, a candlestick pattern characterized by a price drop followed by a recovery, signals a potential trend reversal. This suggests that buyers have intervened after an initial bout of selling pressure. The last time XRP experienced an inverted hammer formation was in 2021. Subsequently, the asset witnessed a four-month rally, culminating in reclaiming $1.9669 by April of that year.
Drawing from this historical precedent, Egrag Crypto believes that the current inverted hammer formation could trigger a similar rally. The analyst has identified a key macro resistance level at $0.80.
As the next candlestick pattern takes shape, Egrag envisions an initial target within the $2.3 range. However, this achievement is a stepping stone, not the ultimate goal.
Egrag Crypto posited that the $2.3 range could be a launchpad for XRP’s ascent to $3.3. Yet, the analyst’s ambitious vision extends further, with the ultimate goal of $5.5. If XRP reaches this level, it would establish a new all-time high, a feat akin to reaching the mythical realm of Valhalla.
XRP is currently traded at $0.5258, reflecting a 1% decrease over the past 24 hours. The journey to reach the envisioned peak of $5.5 would demand an impressive surge of 950% from the present price point. With anticipation growing over the possibility of a significant rally, enthusiasts within the cryptocurrency community are eagerly anticipating the upcoming market movements of XRP.
