thecryptobasic.com
A technical analyst has asserted that intending investors now have “extremely” limited risk when entering the $XRP market.
The market expert, known by the alias “Cryptoes” on X, voiced this sentiment in a recent commentary. The view emerged amid the altcoin market resuming the second-led bull frenzy after a brief setback triggered by Mt Gox’s $9 billion Bitcoin movement.
“Great time to be in $XRP”
While $XRP’s bulls are yet to join the trend, Cryptoes suggested that now is an opportune moment to buy $XRP. According to the analyst, the downside risk to investing in $XRP is significantly minimal. Notably, at press time, $XRP trades at $0.53.
Great time to be in #$XRP | At this stage I think the downside for $XRP is extremely limited
$0.50 Is Rock Solid Support
— Cryptoes (@cryptoes_ta) May 28, 2024
Here’s Why
The technical analyst based his perspective on $XRP’s resilience around the $0.5 price channel, which is now seen as a “rock solid support.”
Notably, $XRP has barely breached the $0.5 mark in the past 30 days. The asset has mostly fluctuated within this range, with a brief dip to $0.48 on May 1 being the only exception.
Considering $XRP has held well for an extended period, the analyst believes the odds are presently in favor of investors.
Furthermore, $XRP’s potential upswing is supported by the consistent recognition of a prolonged consolidation phase in its price. Various analysts have observed that $XRP has been in an accumulation phase for approximately six years—since it dropped from its all-time high of $3.84.
The pattern that $XRP has formed over this period is identified as a symmetrical triangle, which renowned market observers interpret as a bullish signal. These analysts have suggested various targets $XRP investors can anticipate upon a breakout from the downtrend pattern.
For instance, analyst Javon Marks predicts as much as a 37,635% surge in $XRP to $200. The audacious $200 target is inspired by $XRP’s 75,000% rally post-2014 consolidation.
Moreover, beyond $XRP’s technicals, the anticipation of an upswing for $XRP is reinforced by the current bull market trend. Every major altcoin is expected to experience its own rally, setting new all-time highs.
Besides, $XRP has not seen substantial movement since the start of the bull market seven months ago. Some market observers interpret this as a setup for explosive growth, which is typical for $XRP.
However, some retail investors view the current lack of commendable movement as a negative indicator.