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Market analyst Mikybull suggests XRP is currently displaying one of its most promising technical setups in years.
The chartist disclosed this in a recent analysis on X. According to him, a long-term symmetrical triangle pattern has been forming on the 2-month chart, suggesting a potential breakout.
This is especially relevant as the prominent momentum indicator Williams Percentage Range (Williams %R) approaches historic levels of overbought conditions. This setup is currently setting the groundwork for a price rally from XRP.
XRP Symmetrical Triangle Patterns
The XRP chart currently features a large symmetrical triangle that has been consolidating since April 2021, when XRP dropped from the $1.96 high. This pattern typically represents market indecision. Notably, breakouts often result in massive price movements.
Data from the chart shows a similar symmetrical triangle that formed from December 2013 to February 2017. When XRP broke out from that triangle, it surged over 60,000%, reaching an all-time high above $3.30.
Currently, XRP is trading around the $0.58 region. The pattern suggests a strong upward move is possible from this level. A breakout from the top of the triangle could push XRP back towards its previous all-time highs or beyond, depending on the momentum.
Williams %R Signals Strengthening Momentum
Meanwhile, the Williams %R indicator is also sending bullish signals. Williams %R tracks a crypto asset’s momentum by measuring how close recent prices of the asset are to their highest point over a period of time.
Notably, with XRP, the Williams %R has peaked only two times since 2014. Interestingly, each peak coincided with massive price rallies, especially the one in 2017 when XRP spiked to $3.3. The indicator is again approaching similar levels. This suggests that XRP could be building momentum for a strong move.
XRP Price Outlook Suggests Potential Breakout?
Given the bullish macro setup, the price outlook for XRP is positive in the long term. Mikybull believes this combination of patterns represents one of the most macro setups in years. If the symmetrical triangle breaks to the upside, XRP could enter another long-term bull run.
Specifically, a breakout could push XRP towards key resistance levels, such as the $1 mark or even higher. Some technical projections suggest that XRP could see targets as high as $10, depending on broader market conditions.
However, it’s essential to remember that symmetrical triangles can break either way. A downside break could send XRP back towards $0.25 or lower, although such a move seems less likely given the current bullish sentiment in the market and the XRP ecosystem.