XRP Linear Regression Analysis Points To Major Price Movements Ahead: Report
- XRP is expected to revert to its mean price of $1.85, with potential for further growth to $5.76 if trends hold.
- Linear regression indicates XRP is currently oversold, signaling a possible price bounce to key resistance levels.
- Historical trends suggest XRP could experience significant price surges, with projections ranging from $16 to $27 in the long term.
Egrag Crypto has recently provided an analysis of the linear regression of the price of XRP as is one of the most effective methods of determining trends to determine the possible future values of the coin. In the recent X post, the analyst pointed out that XRP is currently trading in the range that represents the lower bound of the -1 standard deviation, which means there might be a return to the average price.
The use of linear regression in trading makes it easier to establish trends by drawing a moving trendline on the price. The technique also incorporates channels that contain the standard deviation of price movements. The lower band of the channel is oversold while the upper band is overbought.
XRP Growth Projections
For Ripple coin, the two levels of interest are the mean reversion point at $1.85 and the first standard deviation band which may take the price to $5.76. The analyst reveals that cryptocurrency could hit even higher levels than the upper band if it follows the same historical trend as 2017.
The projections present various scenarios of events based on the market trends. In the short term, Ripple coin is expected to move back to the mean price of $1.85. Within the next several months, this number could grow to $2.4, with $3 as a possibility within a year. In case the price breaks through the upper band, XRP may reach $5.76 in the nearest future and $7.31 within a month or two.
Egrag also presented two possible outshooting models based on the previous price cycles. The more bearish Cycle A, which has a 180% target for the price from the lower band, estimates that token could trade for $16 and $27 within a year. Cycle B which is 110% more conservative paints a picture of a price range of between $12 and $26 over the same period.
Upcoming XRP Price Shift
Crypto WZRD also provided analysis on XRPs possible price trends. He pointed out that XRP recently closed near the $0.55 resistance level and stated that Bitcoin and the XRP/BTC pair will be key in the direction of the cryptocurrency in the near future. WZRD urged traders to watch out for these technical indicators when seeking entry strategies.
Moved by the current market trends, analysts believe that XRP still has a bright future ahead of it. The Ripple community has been urged to stay put as there are strong indications of a major price shift in the market soon. Significant changes may happen if the past trends persist, indicating that significant improvements may be in the offing.
Read more: https://www.tronweekly.com/xrp-linear-regression-analysis-points-to-major/
Text source: TronWeekly
