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King Solomon, a market analyst, highlights the important level XRP needs to close above on the monthly timeframe for a price explosion.
He mentioned this during his latest analysis of XRP’s price movements amid the recent consolidation phase that has persisted since Sunday. For context, XRP was one of the best movers last week, especially over the weekend.
The altcoin surged from $0.55 on Nov. 9 to a peak of $1.26 on Nov. 16. This represented an impressive 129% rally within a week, allowing XRP to finally reclaim the $1-mark for the first time in three years.
However, after claiming the $1.26 top, XRP faced resistance and a subsequent pullback. Despite this, the bulls have zealously defended the $1-mark, holding above it as they anticipated the next bullish push to take prices higher.
XRP Needs to Claim and Hold Above $1.35
Nonetheless, this push has not yet materialized, with prices largely consolidating since the collapse from $1.26. Amid this consolidation, XRP has ranged between $1.006 and $1.19. Meanwhile, King Solomon believes this could be healthy for the altcoin.
In his latest analysis, he called attention to the $1.08 price level. According to him, this region is pivotal for XRP’s next bullish run. He asserted that XRP would “absolutely rocket” if it can successfully maintain this level and secure a monthly close above it.
With XRP currently trading for $1.1020, the altcoin just needs to defend against a drop below the $1.1 level should another market correction occur.
However, to be conservative, King Solomon bumped his target level to $1.35. This suggests XRP might have to rally toward the Fibonacci 1.618 level around $1.3457 and hold above it before November closes in the next nine days.
While the market analyst failed to provide any definite price goals, previous analyses have presented topside targets for XRP above $1.
The Crypto Basic confirmed on Nov. 16 that once XRP breaches $1.3457, its next target would be $1.87 at Fib. 2.618 before it aims for the $2.4 level, above the 2021 peak of $1.96. Market veteran Brandt asserted that a push above $1.96 would set XRP up for an explosive run.
XRP Forms Bull Flag
Meanwhile, in the short-term, XRP appears to have formed a bull flag pattern on the daily chart. The pennant of the pattern formed as XRP dropped from $1.26 on Nov. 16 and has continued to consolidate.
If the bulls do not engineer a rally soon, XRP might trade in a range for four more days before reaching the apex of the pennant. However, a break above the pennant could bring XRP face-to-face with the resistance at the upper Bollinger Band ($1.13) before a push to $1.35 can materialize.
Also, an important indicator to pay attention to is the RSI, which still stands at 82.36, suggesting that the bullish momentum is still prevalent. Nonetheless, this also indicates that XRP is still overbought and another pullback could ensue if bears mount control. Should this occur, the bulls need to defend $1.0373.