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Despite a notable 7% surge in $XRP today, market experts are cautioning against overly optimistic projections of $100 or $1,000.
One macro trader, pseudonymously known as Crypto Addict, recently highlighted the immediate hurdles $XRP must overcome before aiming for higher targets.
Before Eying $XRP at $100 or $1,000
According to the trader, the resistance level at $0.7542 has posed a significant barrier for $XRP, repeatedly halting upward movements within a long-term wedge pattern. As seen on the chart he shared, this level has been a major resistance point several times over the years, and overcoming it is essential for further price advances.
For instance, during the crypto market’s bull frenzy in the first quarter, $XRP engineered a solitary 20% rally on March 11, setting a new yearly high at $0.74. However, $XRP soon encountered a roadblock, losing steam to surpass the threshold.
Furthermore, the analyst noted that $XRP’s relative strength index (RSI) is at 66, nearing overbought territory. According to Crypto Addict, a push to 78 would likely coincide with reaching this resistance level.
However, he underscored that a substantial increase in trading volume is essential to break through $0.7542 and target higher levels.
Notably, $XRP posted a trading volume of $2.98 billion today, a massive 163% growth from the previous day’s figure. While this is significant, Crypto Addict estimates that more buying pressure is needed to surpass the critical $0.7542 resistance level.
Data Shows Increased Demand
Recent data from Santiment reveals encouraging indicators for $XRP’s potential resurgence towards current barriers. Notably, there are signs that large investors are accumulating $XRP.
Specifically, the number of $XRP whales has surged by 2,389 in just five weeks, reaching a total of 279.36K as of July 30, 2024.
The correlation between the increasing number of large wallets and the rising price of $XRP indicates that these investors’ accumulation phase contributes to upward price pressure. This trend is a bullish signal that reflects increased demand for $XRP and can be linked to the current increase in $XRP’s price.
$XRP $100 Still a Target to Watch
While Crypto Addict believes $100 or $1000 is an overstatement, other analysts continue to target these ambitious levels. For instance, Javon Marks, an expert analyst, recently shared the possibility of a significant breakout in $XRP’s price to levels between $100 and $500.
He noted that $XRP is approaching a critical point within a symmetrical triangle pattern. If $XRP successfully breaks out and follows through fully in a logarithmic manner, Marks suggests it could emulate its 2017 performance.
According to his analysis, such a breakout could potentially increase $XRP’s value by more than 300 times, possibly reaching price levels exceeding $150.