XRP ‘off to the races’ to hit $4, according to crypto analyst

XRP’s price has been building significant momentum, currently trading at $2.66 after a daily gain of 11.75% and a weekly surge of 18.72%. Recent price action, coupled with technical indicators and whale accumulation, points to a potential breakout that could send XRP soaring to the $4 level in the near term. XRP 1-day price. Source: Finbold XRP technical analysis On December 17, prominent on-chain analyst Ali Martinez highlighted XRP’s bullish formation, stating: “XRP has been consolidating in this bull flag for a while, but once it clears the $2.60 resistance, I think it’s off to the races, heading toward $4!” XRP bull flag. Source: Ali Martinez This observation follows his earlier analysis on December 12, where Martinez noted that XRP was forming a textbook bull flag pattern on the 4-hour chart. A bull flag is a continuation pattern characterized by a sharp rally (the “flagpole”) followed by a period of consolidation within a downward-sloping channel (the “flag”). A breakout above the upper trendline of the flag confirms the pattern and typically leads to a move equivalent to the length of the initial rally. In XRP’s case, the flagpole extends from $1.92 to $2.60, suggesting a potential breakout target of around $3.28 to $3.50 in the short term, with a longer-term target of $4. XRP’s price action has been defined by several critical levels that traders are closely monitoring. Immediate support sits at $2.23, a level that has consistently provided a strong foundation during pullbacks, reinforcing bullish sentiment. Immediate resistance stands at $2.60, which forms the upper boundary of the bull flag pattern. A confirmed breakout above this level would likely trigger the next leg of XRP’s rally. Beyond this, $3 represents a significant psychological barrier. Clearing this level could pave the way for a move toward the all-time high (ATH). The long-term target of $4 is derived from the measured move of the bull flag breakout, aligning with broader market optimism and increased whale activity. XRP indicators supporting the bullish case Several key indicators support the bullish outlook for XRP. The price is currently trading well above the 200-day simple moving average ( SMA ), a crucial signal for long-term bullish momentum. Additionally, the 50-day SMA is trending upward, hinting at a potential bullish crossover that could further strengthen the uptrend. The Relative Strength Index ( RSI ) on the 4-hour chart is approaching overbought territory, hovering around 70. While this typically signals the possibility of short-term consolidation, in strong bullish trends, overbought conditions often persist, reflecting robust buying momentum. Another significant indicator is the TD Sequential, which previously presented a sell signal on December 12. This signal often suggests a brief correction before a continuation of the trend. With XRP now breaking above $2.60, this sell signal appears to have played out, clearing the path for further upside. Lastly, trading volume has surged by 129.28% in the past 24 hours to $15.16 billion. Elevated volume during a breakout confirms the strength of the move and reduces the likelihood of a false breakout, further supporting the bullish case for XRP. Whale accumulation of XRP Strong technical indicators and whale accumulation (over 830 million XRP in the past 24 hours), suggest that XRP is well-positioned to capitalize on the current bullish momentum and potentially achieve new highs. Whales have purchased over 830 million $XRP in the last 24 hours! pic.twitter.com/KzNds2CVdf — Ali (@ali_charts) December 16, 2024 Ripple’s upcoming RLUSD stablecoin launch is expected to enhance XRP’s utility within the Ripple ecosystem, providing additional liquidity and reinforcing its use case for cross-border payments. On a larger scale, a potentially pro-crypto administration in the U.S. and increasing institutional interest are adding crucial tailwinds to XRP’s trajectory. Featured image via Shutterstock The post XRP ‘off to the races’ to hit $4, according to crypto analyst appeared first on Finbold .