TL;DR
- XRP is up 230% YTD, with analysts pointing to tightening Bollinger Bands and similarities to 2017’s pre-bull run patterns as signs of a possible further rally.
- Some market observers suggest the price could hit $4 or even much higher, supported by declining exchange holdings, which reduce the immediate selling pressure.
Major XRP Rally on the Way?
Ripple’s XRP has been among the worst-performing leading cryptocurrencies in the past seven days. On December 30, it briefly tumbled under $2 before it recovered some losses to the current $2.07 (per CoinGecko’s data).
Despite the bearish outlook in the last week, 2024 has been highly successful for XRP. Recall that it was worth around $0.62 at the start of the year, meaning it has experienced a 230% price increase since then. Multiple analysts believe it has much more room for growth.
One of those is Ali Martinez, who claimed that the Bollinger Bands on the token’s price chart have been squeezing lately, indicating a “big movement” underway.
This technical indicator, developed by John Bollinger in the early 1980s, assists traders in detecting when an asset may be overbought or oversold and spot potential price breakouts or reversals.
Tightening the bands means XRP has experienced relatively low volatility for a prolonged time and might be headed for a huge rally (or correction).
JAVON MARKS remains an optimist and suggested that XRP’s current price condition looks very similar to what transpired in 2017 (shortly before the bull run that took it to a new all-time high of over $3.4).
“Prices right now may only be getting ready to come out of an ‘Intermission Phase’ before yet another ‘groundbreaking’ bullish rally! It may be time to strap in,” the X user assumed.
Previous Predictions
Other market observers who have set bullish targets for Ripple’s native token include Mikybull Crypto and Coach, JV. The former expects a rise to a new peak of $4, whereas the latter thinks that XRP would be one of those cryptocurrencies that investors will regret not buying at current rates:
“XRP will be one of these assets where people will say, “I could have bought XRP at $2, $5, or $7, and will FOMO in at $100.” The beauty in this. Everyone will win in the long run! It’s the short-term mindset that destroys portfolios!”
Meanwhile, the amount of XRP stored on exchanges has been declining in the past week. This suggests a shift from centralized platforms towards private wallets and could be considered bullish since it reduces the immediate selling pressure.
