- Buying pressure on the token has increased in recent days.
- However, a technical indicator first hinted at a price correction.
XRP bulls have pushed hard in recent days, allowing the token to move past crucial resistance. This latest breakout could be a game-changer for XRP, as it could be gearing up for a price surge of almost 300% in the coming days.
XRP’s successful breakout
After remaining bearish throughout the last week, the token recently gained bullish momentum and pushed its price up by over 2% in the past 24 hours.
At the time of writing, the token was trade at $0.6133 with a market capitalization of over $34.6 billion.
Things could improve further in the coming days as the recent price rise has allowed it to break out of an uptrend. Captain Faibik, a popular crypto analyst, recently published a tweet revealing a multi-year bullish symmetrical triangle pattern.
This pattern first appeared in 2021, and since then the price of XRP has consolidated there. Its recent price rise has allowed XRP to break through.
Captain Faibik’s tweet also suggests that this latest development could cause XRP prices to rise by almost 300% in the coming weeks or months.
However, since the 300% target seemed a bit too ambitious in the short term, the tweet also mentioned that the mid-term target could be $2.3.
Source:
How soon can XRP reach $2.3?
AMBCrypto then checked XRP’s on-chain data to know the chances of it reaching $2.3 in the coming days. According to our analysis of Santiment data, the trading volume of the token has increased significantly as well as its price.
Whenever this happens, it indicates that the chances of the current uptrend in prices continuing are high.
In fact, investors also had confidence in the token. This is evident from the increased outflows from XRP, meaning that buying pressure on it was high. Typically, strong buying pressure causes prices to rise.
Source: Santiment
However, whales’ market exposure has decreased over the past 24 hours.
AMBCrypto’s review of Hyblock Capital data found that the whales’ delta to XRP retailers fell from over 90 to 81, indicating that retail investors were increasing their exposure to the market relative to the whales.
Source: Hyblock Capital
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AMBCrypto then checked the daily chart of the token to better understand if this bullish rally would continue. XRP price has touched the upper limit of the Bollinger Bands, which often leads to price corrections.
If this happens, then XRP could fall to its support near its 20-day simple moving average (SMA).
Source: TradingView
