Key takeaways:
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XRP price just hit multiyear highs of $3.66, but technicals suggest there’s more room to run.
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Multiple XRP charts signal a potential “explosive” move, targeting $7-$20 if key resistances are broken.
XRP (XRP) price has risen significantly over the last seven days, climbing to a new record high of $3.66 on Friday, and up nearly 90% since its April lows.
Despite this impressive performance, several technical setups suggest that XRP price is yet to enter its parabolic phase, according to analysts.
XRP dominance “signalling a mega bullish wave”
Popular crypto analyst Dom said that although XRP hit multiyear highs on Friday, a few other charts “haven’t really signaled full bull just yet.”
One of these is market share, or the XRP dominance (XRP.D) chart, which shows that XRP is back at the weekly resistance level around 5.50%. This resistance has held XRP.D down for over 2,200 days.
Related: XRP is about to hit $200B market cap for first time; price nears record
“Anytime $XRP.D broke the current resistance in the past, we saw a 2x shortly after,” Dom explained, adding:
“If history repeats after a successful break, this would land us near a target of $7-$10, depending on how much the rest of the market moves.”
“Not everyone is paying attention to the XRP Dominance, but I truly believe it’s signaling a mega bullish wave!” Fellow analyst Egrag Crypto said in a post on Saturday.
The metric has broken out of a bull pennant in the two-week time frame, projecting XRP dominance between 21% and 275%.
The analyst explained that the Visible Range Volume Profile (VRVP) reveals a significant void above 5.75%, which aligns with the resistance spotted by Dom.
“This means that any closure above 5.75%, which aligns with the Fib levels of 0.5 and 0.618 (8.59%), could trigger the Kaboom phase for #XRP Dominance!”
XRP/BTC hints at “explosive” upward move
XRP is also showing bullish signs in Bitcoin (BTC) terms. XRP/BTC’s strong technical setup supports the case that XRP’s best run is yet to come. XRP seeks to break above a key resistance zone, which has suppressed the price since mid-2019.
Once the level is cleared, it could trigger a massive move upward, as it happened in 2018.
According to DOM, this zone was the convergence of the value area high from seven years ago and the volume-weighted average price (VWAP) from the 2018 all-time high of $3.84.
This zone has also suppressed the pair for over 2,200 days and “has rejected XRP over 8 times,” the analyst explained, adding:
“Similar to the $XRP.D chart, anytime this has been reclaimed in the past, an explosive move occurred shortly after.”
Meanwhile, an impending bullish cross from the moving average convergence divergence indicator (MACD) also supports XRP’s potential to move significantly upward once it is confirmed.
A bullish cross from the MACD in March 2021 and November 2024 resulted in 514% and 400% gains in the XRP/BTC pair, respectively.
XRP price chart targets $20
The monthly chart shows XRP price validating a bull pennant pattern, with the price facing resistance from the $3.84 all-time high.
A bull pennant is a continuation pattern that occurs after a significant rise, followed by a consolidation period at the higher price end of the range.
A monthly close above the upper trendline of the pennant at $2.55 will clear that path for XRP’s rise toward the pattern’s target above $18, representing a 417% increase from the current price.
“Just simple technical analysis,” said trader XRPunkie, referring to XRP’s price action in the monthly time frame. The analyst asserted:
“Target of $20+- $XRP is a given. It shall happen by the end of this cycle.”
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.