The XRP price remained consolidated within a tight range for over a couple of years, while a rise of over 380% after the breakout attracted huge liquidity. The volume then surged by over $22 billion from the levels around $1 billion, hinting towards an extensive participation of the bulls. Unfortunately, the levels quickly dropped soon after the prices surged above $3 and were on their way to mark a new ATH. Since then, the XRP price has remained stuck within a descending consolidation while the volume dropped back to its initial position around $1.
While the volume is facing extreme squeeze, the bulls wait for a quick explosion. Will this trade setup push the XRP price to $10 in 2025? Is this a realistic target or an exaggerated claim?
The main reason behind the major overhang on XRP’s long-term valuation could be the Ripple vs. SEC lawsuit. The SEC’s 60-day deadline, which is approaching on June 16, a favorable outcome for Ripple could inject fresh confidence into the market. This coincides with the broader macro backdrop of rising global liquidity. Technically, XRP is currently forming a classic bullish flag pattern on the higher timeframes and hence a breakout could initiate a fresh upswing.
Similar to the daily chart, the weekly chart shows the price being stuck within a decisive symmetrical triangle ever since it faced a rejection from the yearly highs. As seen in the above chart, after breaking above a prolonged consolidation, the XRP is heading towards the edge of the decisive symmetrical triangle. The volume has drained to a large extent, signifying an extreme squeeze. On the other hand, the conversion line of the Ichimoku has turned into a strong support, while the baseline is a resistance. Besides, the DMI levels have converged, validating a squeeze.
A bullish breakout could initiate a bullish crossover, which may push the levels above $2.5, which is a crucial resistance to achieve. Once done, the XRP price is expected to maintain a healthy upswing to form new highs. Meanwhile, the Nasdaq files its crypto expansion, adding up 4 more cryptos, which includes XRP, which could be a major bullish signal for the token. The impending Ripple vs. SEC outcome, along with a potential ETF and now Nasdaq inclusion, suggests more green days for the fourth-largest token.
Considering the current trade setup, the $10 target for the XRP price rally could be realistic, while the timeline could be extended ahead of 2025.
Credit: Source link