thecryptobasic.com
XRP analyst Dark Defender highlights key Fibonacci retracement support level for XRP, pointing to several price targets, which include lofty two-digit figures.
In his latest analysis, Dark Defender identified crucial technical signals on the weekly chart, pointing towards potential significant price movements. According to his analysis, XRP has reached the latest Fibonacci support level of $0.3917 within the context of the 5 Elliott Waves.
Hi all, Let's refocus on the weekly time frame. XRP hit the latest Fibonacci support of $0.3917 of the 5 Elliott Waves, targeting $1.88, $5.85, and $18.22.
As we approach the lowest point I anticipated, any movement below $0.3917 could alter the structure we've been observing.… pic.twitter.com/wN8bg6OMfP
— Dark Defender (@DefendDark) July 6, 2024
Notably, the analyst projects future targets at $1.88, $5.85, and $18.22. However, he emphasized the importance of maintaining a price above the $0.3917 support level to avoid structural changes.
Critical Support and Potential Reversal Signals
According to him, the $0.3917 support is the most crucial key Fibonacci level. Any breach below this level could disrupt the bullish structure. Furthermore, the RSI indicator on the chart shows that XRP is in an oversold condition, signaling a potential reversal.
The Ichimoku Cloud, included in the analysis, highlights support and resistance levels along with momentum and trend direction. The price action seems to be interacting with the cloud, which could indicate potential support or resistance areas.
24-Hour Indicators Show Mixed Market Activity
Meanwhile, XRP’s Volume (SMA, 9) remains stable but occasionally spikes, indicating higher trading activity periods. The recent volume increases suggest buying interest. In addition, the Accumulation/Distribution line at 12.87 billion trends upwards, indicating more accumulation than distribution, which points to potential buying pressure.
However, the Chaikin Money Flow (CMF, 20) at -0.06 suggests slight selling pressure. The Moving Average Convergence Divergence (MACD) with a MACD line at -0.0046 and a signal line at -0.0131 shows bearish momentum. Yet, the narrowing gap between these lines hints at a potential bullish crossover if the trend continues.
Imminent XRP Surge Amid Doji Formation
This analysis coincides with The Block Bull’s prediction of a 6,000% surge in XRP over the coming weeks, driven by a doji candle formation on the XRP/BTC weekly chart.
This prediction emerges during a period of consolidation observed on the XRP/BTC chart, where the ratio plummeted by 77.7%, from a high of 0.00002970 last July to a low of 0.00000662 in June. This decline was attributed to Bitcoin’s higher highs while XRP’s growth remained stunted.
The XRP/BTC ratio’s current downtrend has paused, leading to a consolidation phase. Within this phase, a dragonfly Doji candlestick was formed during the weekly timeframe. The previous weekly candle saw the XRP/BTC pair open at 0.00000758 and close at 0.00000751, creating the Doji.