The XRP price reclaimed a long-term ascending support trend line and has nearly broken out from a descending parallel channel.
The XRP price traded without significant volatility in 2023. Will this change in 2024?
XRP Reclaims Lost Support
The weekly time frame technical analysis shows that the XRP price has increased alongside an ascending support trend line since October 2022. The trend line has been validated numerous times (green icons).
At the start of 2024, the XRP price seemingly broke down from the ascending support trend line and a horizontal support area. However, it reclaimed its footing shortly afterward, rendering the decrease a deviation. The XRP price closed above the trend line and trades above it.
The weekly Relative Strength Index (RSI) does not confirm the bullish reversal yet. The RSI is a momentum indicator traders use to evaluate whether a market is overbought or oversold and whether to accumulate or sell an asset.
Readings above 50 and an upward trend suggest that bulls still have an advantage, while readings below 50 indicate the opposite. While the indicator increases (green icon), it trades below 50.
What Are Analysts Saying?
Cryptocurrency traders and analysts on X positively view the future XRP trend. 3TGMCrypto shows a completed correction, predicting the upward movement will accelerate soon.
Cryptoes noted an inverse head and shoulders pattern with a target of $0.57. Finally, RealXRPWhale suggests something big is coming.
Read More: Getting Started With XRP Wallets
XRP Price Prediction: When Will Breakout Ensue?
The technical analysis of the daily time frame supports the bullish readings from the weekly one. This is because of the price action and RSI readings.
The daily chart shows that XRP has decreased inside a descending parallel channel since November 2023. These channels usually contain corrective movements.
After bouncing at the channel’s support trend line on January 31, 2024, XRP reached the channel’s resistance trend line today. This is the seventh breakout attempt. Since lines get weaker each time they are touched and the channel usually contains corrective movements, an eventual breakout from it is the most likely scenario.
The daily RSI supports this upward movement since it is above 50 and moving upwards. If a breakout happens, XRP can increase by 25% to the next resistance at $0.72.
Despite this bullish XRP price prediction, a rejection from the channel’s resistance trend line can trigger an 18% drop to the channel’s support trend line at $0.46.
Read More: How to Secure XRP With Xaman Wallet
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