Despite a general downturn in the cryptocurrency market, XRP Ledger (XRP) has enjoyed a bullish run in recent days, aiming to maintain gains above the critical $0.60 mark.
The token has held steady above $0.617, showing a slight 3% increase over the past week. Notably, XRP has outperformed Bitcoin (BTC), with a 26% rise over the past month compared to Bitcoin’s 9% increase.
Adding to the speculation, the United States Securities and Exchange Commission (SEC) has scheduled another closed-door Sunshine Act meeting for August 1, 2024. This has fueled discussions within the crypto community about potential regulatory changes that could positively impact XRP’s performance.
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On this same day, Ripple will unlock 1 billion XRP tokens worth over $627 million, as Finbold reported.
XRP’s road to $18
Based on its recent trajectory, crypto analyst Dark Defender has suggested that the token’s technical indicators point to extreme bullishness, signaling a potential breakout.
In his recent analysis, Dark Defender noted that XRP is in a consolidation phase in a three-month timeframe, indicating a potential breakout. The crucial support level, at around $0.39, which is the 23.60% Fibonacci retracement level, has been tested multiple times, highlighting its importance as a floor price.
Conversely, the resistance level near $0.93, at the 100% Fibonacci retracement, acts as a formidable barrier. A breakthrough above this resistance could signal a substantial bullish trend.
Key support and resistance levels to watch
The $0.60 level has provided short-term support, maintaining XRP’s stability amid broader market volatility.
The ultimate support at $0.39 is vital for sustaining the long-term bullish outlook. On the resistance side, intermediate resistance at $0.66 could pose a minor hurdle, but the critical resistance level to watch is $0.93. A breakout above this level would likely initiate a strong bullish trend, attracting significant investor interest and momentum.
Investment implications
For bullish investors, a confirmed breakout above $0.93 presents a prime buying opportunity, with substantial upside potential at the projected targets of $1.88, $5.86, and ultimately $18.24 at Fibonacci retracement levels 161.80%, 261.80%, and 361.80%, respectively.
Conversely, a failure to hold the $0.39 support level could signal a bearish trend, necessitating caution and potential short-selling strategies. Monitoring these critical levels and the symmetrical triangle pattern will be essential for making well-informed trading decisions in the upcoming months.
XRP price analysis
At press time, XRP is changing hands at $0.62, with over a 4% increase in 24 hours.
Analysts believe that a breakout from the current consolidation phase could catalyze a significant rally, with the potential to reach $18 by September. XRP’s recent performance, coupled with strong technical indicators and potential regulatory developments, suggests a highly bullish outlook.
Investors should closely monitor key support and resistance levels, particularly the $0.93 mark, as a breakout above this level could lead to substantial gains. The next few months could be pivotal for XRP, making it a key cryptocurrency to watch in the market.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
