XRP Dominance Reveals Start Of Next Parabolic Price Move
October 20 2023 - 7:00AM
NEWSBTC
Crypto analyst Jaydee recently took to X (formerly Twitter),
sharing another intriguing chart of XRP. The analyst presented the
2-month XRP dominance chart spanning from 2014 till today, shedding
light on the cryptocurrency’s historical and potential future price
actions. This examination brings to focus a falling trend line and
a horizontal resistance line, which showcases a critical XRP
dominance level at 2.62% that could be key for the price’s next
parabolic move. XRP Dominance Sits Just Below Key Level Delving
into the historical performance, the chart showcases moments when
the token experienced rapid increases and furious drops in terms of
crypto market dominance. There was a period where XRP underwent a
staggering 39x price jump, reaching $0.39 in just 56 days in 2017.
Shortly after, another surge saw the digital asset climb 17x within
28 days, marking its value at $3.31. Both times, the dominance was
rejected at the yellow 5.5-year trend line. This resistance line
has consistently acted as a major barrier to XRP’s dominance in the
crypto market. Every approach or touch of this line led to
significant price actions toward the downside. Related Reading:
Analyst Predicts XRP Price To Hit $100: Here’s How To Become A
Millionaire Remarkably, the cryptocurrency’s price experienced a
similar situation from 2015 to 2017 when the dominance was also
held below a falling trend line for more than two years. However,
the breakout of this trend signaled a massive price surge as XRP
dominance rose from merely 1% to above 30% in just four months in
2017. Fast-forward to today, the cryptocurrency could be in a
similar situation as in 2017. It has breached the trend and is
moving beyond the red trend line. However, instead of an instant
surge as in 2017, XRP’s dominance now contends with the pivotal
2.62% mark. Related Reading: ‘Extra Bullish’ On XRP? Crypto Analyst
Pinpoints The Perfect Timing According to the analyst’s chart, it’s
currently at 2.55%, narrowly missing the critical level. Notably,
over the past 14 months, dominance hasn’t achieved a close above
2.62% on the bi-monthly chart. However, if it does surpass this
threshold, it might signal the onset of the next parabolic ascent,
as outlined by Jaydee. Currently hitting the yellow resistance
line. If we can have a full 2-month candle close above the yellow
resistance line, expect the next parabolic move! Is 2024 the year?
Weekly Chart: When ‘Moon’? Jaydee shared another chart on X
(formerly Twitter) today, stating with regards to the weekly
XRP/USD chart: “Still creating higher high (HH) in Price while
lower low (LL) in RSI and SRSI on the WEEKLY, while bouncing off
the 2-year trend line.” From this, he discerns three key takeaways
before XRP can “moon.” First, the cryptocurrency needs to gather
momentum. He suggests that it needs to break past the $0.54 mark,
at least on the daily chart. Second, the Stochastic RSI (SRSI) for
the weekly timeframe should cross the 20-level, indicating
potential for a bullish move. Lastly, the most important point in
Jaydee’s analysis is the yellow 6-year trendline. For XRP to
witness a parabolic move, breaking this trendline is imperative. At
press time, XRP traded at 0.5198. Featured image from iStock, chart
from TradingView.com
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