CoinWorld.com report:
Cryptocurrency market analyst Stephan predicts that XRP may be on the verge of its most significant price increase to date, due to the potential impact of increased global liquidity.
The analyst made this assertion in a recent interview.
Report
XRP price trends. It is worth noting that his charts indicate a historical relationship between XRP price trends and the surge in global liquidity, suggesting that past trends are repeating.
XRP may rise due to increased liquidity
The chart shows moments of intensified liquidity influx
XRP rebounded
In the periods of 2017-2018 and 2020-2021, global liquidity provided a backdrop for rapid price increases.
Based on this pattern, analysts including Stephan believe that XRP may be preparing for a similar surge between 2024 and 2025, triggered by another factor: increased liquidity.
XRP Chart | StephIsCrypto
Specifically, in 2017-2018, the influx of liquidity coincided with a significant rebound, causing XRP to skyrocket by about 60,000% to a historical high of $3.31 in January 2018. It is worth mentioning that XRP performed poorly during the bull market of 2017.
This pattern repeated in 2020-2021, although with some differences in momentum and magnitude. Despite the legal battle between the U.S. Securities and Exchange Commission and Ripple, which had a negative impact on XRP, the price of this altcoin soared to $1.96 by April 2021;
Each time, XRP’s price benefited from broader market liquidity conditions. The current setup seems to reflect past cycles, indicating that another liquidity-driven rebound is imminent. Currently,
XRP is performing poorly
, similar to the market trend in 2017.
Short-term outlook for XRP
At the same time, caution is advised for XRP’s short-term prospects. XRP’s current trading price is $0.5445, down 0.04% this morning. Since early October, the altcoin has been consolidating within a symmetrical triangle pattern, focusing on a price range of $0.55.
XRP 1D Chart
Breaking through this resistance level could pave the way for further gains, with the next key target being the pivot point of $0.5929. In addition, XRP may test several resistance levels, with R1 at $0.6549, R2 at $0.6932, and R3 at $0.7553;
However, bulls need to defend against any downturns. If the price fails to break the $0.55 level and faces further selling pressure, key support levels to monitor are S1 at $0.5309, S2 at $0.4926, and S3 at $0.4305;
Further data from CryptoQuant confirms that XRP’s relative strength index (RSI) is currently neutral, at 59. An RSI reading near 60 indicates that the asset is showing strength but has not entered the overbought territory, leaving room for further upward momentum.
XRP RSI and Stochastic | CryptoQuant
In addition to the RSI, the stochastic oscillator is at 55.4, indicating neutrality. Similar to the RSI, the stochastic indicator suggests that XRP is in a balanced state with no strong bullish or bearish pressure.
