XRP is expected to reach $17 as the Bollinger Bands tighten, a pattern that typically leads to increased volatility and a rise in the value of the asset. Another analyst has noticed a rare formation in the XRP/BTC chart, suggesting a breakthrough of a 40-day resistance level. However, XRP’s recent surge above the $0.5 resistance level is now threatened by a sudden drop due to an unexpected bearish phase, resulting in a 2% decline in the last 24 hours, a 16.8% decline in the last 30 days, and an 18% fall year-to-date.
This retracement follows the retesting of the 50-day EMA ($0.5723) on April 22, which was part of the post-Bitcoin halving impact. Unfortunately, the market experienced three consecutive days of decline, resulting in a cumulative loss of 5.59% and a 15.73% fall since April 11.
Despite these setbacks, market analysts remain optimistic. Abdullah Nassif, the host of the Good Morning Crypto Show, predicts a significant jump of 3,125% to reach $13 to $17. Nassif bases this prediction on the tightening of the Bollinger Bands, which are used to assess market volatility and potential price levels.
To gain a better understanding of the context, analysts have examined the historical relationship between XRP and the Bollinger Bands. It was observed that tightening of the bands in 2017 and 2020 led to increased volatility and significant price gains during the bull market.
While the Bollinger Bands are not a directional indicator, Nassif believes that the current formation will likely result in an upward trend for XRP.
This bullish trend is supported by a recent report from Crypto News Flash and another analyst who has identified a rare formation in the XRP/BTC chart. According to this analyst, XRP has maintained its position against Bitcoin since April 13 and is poised to break a 40-day resistance level, potentially leading to a 25% price surge. Additionally, analyst EGRAG CRYPT predicts that the price could reach $4 by September 2024.
Overall, the indications suggest that XRP has the potential for significant growth in the near future.