XRP to $15 Price? Pundit Wonders Why Anyone Is Bullish on XRP After a Major Breakdown
Despite growing optimism in the crypto community about XRPs future, the cryptocurrency tied to Ripple has come under increased scrutiny from market analysts, particularly following its ongoing price consolidation and price drop over the past two days.
On Monday, Northstar, a popular crypto analyst, took to X (formerly Twitter) to express his puzzlement at the ongoing optimism for XRP.
Ripple is down over 80%. It has had another major breakdown. Its currently back-testing that breakdown. Why the heck is anyone bullish on XRP before it crosses the breakout line? He tweeted.
The experts analysis, accompanied by a detailed technical chart, reveals a multi-year triangle pattern formation that has recently experienced a significant breakdown.
The cryptocurrency has now entered a phase of backtesting previous support levels, specifically around the $0.54 range. Northstar emphasized that XRP remains trapped beneath a descending trendline that has acted as significant resistance since 2018. Until XRP surpasses this line convincingly, any bullish outlook may be premature.
Analyst Alan Santana added weight to the bearish thesis by pointing to XRPs divergence from Bitcoins performance. What we are seeing happening with Bitcoin is not reciprocating across the market. It is surely not present on the XRP chart, Santana noted. He further noted that XRPs technical indicators, such as the EMA144 and MA200 on the daily timeframe, point to continued bearish pressure, with lower prices expected ahead.
That said, Northstars sharp critique underscores his concerns about XRPs technical struggles, cautioning that any bullish outlook might be premature given the current market situation.
However, not all analysts share this pessimistic outlook. In a separate analysis, Egrag Crypto presented a contrasting view, outlining an ambitious price target scenario. The pundits analysis, dubbed the XRP Macro Drop Zone, suggests that XRP is on the verge of a significant upward move that could see it rally to $15 or beyond.
Once XRP edges closer to the Drop Zone B, were looking at a launch from $2 to $15 minimum, Egrag wrote, predicting a new price cycle that could see XRP reaching as high as $115.
Meanwhile, despite analysts mixed outlook, on-chain data from crypto analytics firm Santiment offers a more optimistic view of XRPs network activity. In a tweet, the firm noted that the XRP Ledger recently experienced a spike in active wallets, with over 35,000 wallets making at least one transaction in a single day, the highest figure in more than three months. Additionally, 3,858 new wallets were created within the same day, marking the most significant increase over seven months.
This surge in activity signals growing interest in XRP despite its ongoing price challenges and could potentially support a price rebound in the near future.
XRP was trading at $0.5155 at press time, reflecting a 0.75% surge over the past 24 hours.
Text source: ZyCrypto
