XRP $8 to $27: Quarterly Hammer Candle Pattern Could Propel Prices, Cryptocurrency Expert
EGRAG, a recognized expert in the cryptocurrency market, has made a bold prediction for XRP, projecting that it could surge to either $8 or $27 based on the formation of a quarterly hammer candlestick pattern.
Despite the ongoing bearish conditions and XRP’s recent drop below the $0.50 level, EGRAG remains optimistic about the cryptocurrency’s future. The analyst focuses on technical indicators to evaluate XRP’s potential, highlighting the significance of the hammer candlestick pattern observed on the 3-month chart.
A hammer candlestick pattern is a bullish reversal pattern that emerges after a downtrend. It consists of a small body near the top of the trading range and a long lower shadow, with a minimal or nonexistent upper shadow. This pattern suggests that despite selling pressure, buyers have intervened to drive prices back up, indicating the possibility of an upward price movement.
According to EGRAG, XRP has only formed this hammer candlestick pattern on the 3-month timeframe twice in its history. The first occurrence was from April to June 2016, followed by another in July to September 2017. Interestingly, in both instances, XRP experienced significant price increases. After the 2016 candlestick, XRP surged by 5,550% from June 2016 to $0.39887 in April 2017. Similarly, after the 2017 candlestick, XRP rallied by 1,745% to reach its all-time high of $3.31 in January 2018.
EGRAG predicts that XRP is on the verge of forming another hammer candlestick pattern on the 3-month timeframe. To confirm this pattern, XRP needs to close the current 3-month candle above the $0.55 to $0.58 range. The current 3-month candle will conclude by the end of this month.
The closing price of XRP for this month could determine its trajectory for the remainder of the year, making it essential for investors to closely monitor its price movements. If XRP forms the hammer candlestick pattern, EGRAG’s analysis suggests that its price could rise by either 1,744% to $8 or 5,500% to $27, depending on whether it follows the path of the first or second hammer candlestick. In the second scenario, XRP would take longer to reach its ultimate goal, with EGRAG predicting a rise to $1.3, followed by a retracement before a subsequent surge.
It is worth noting that EGRAG previously projected the $27 target in an analysis conducted three months ago, but that projection was based on a bullish SMA cross technical setup. Currently, XRP is trading below $1, with a value of $0.4887 and a 0.51% drop in the last 24 hours.