XRP may be preparing for a significant rally
XRP may be preparing for a significant rally, as a recent analysis by crypto expert TehThomas points to a 20–29% price increase. The prediction is based on a Golden Pocket formation and the continued emergence of an Ascending Channel formation.
According to the TradingView analyst, XRP price is creating higher highs and higher lows on the 4-hour chart. Historically, this structure occurred before a strong advance in prices. Currently, this token is trading at $2.20, and it is still in an obvious bullish zone.
Source: TradingView
The emergence of the Golden Pocket between the 0.618 and the 0.65 levels enhances the bull signals. The analysts view this zone as a potential area of support, and the price bounced back up. TehThomas pointed out that XRP has triggered a bounce twice off of this zone, which underlines that buyers are interested in this area.
The current Golden Pocket overlaps with an imbalance zone, which can be interpreted as unaccomplished Liquidity that draws revisiting before the continuance of the trend. TehThomas believes this alignment strengthens the case for a move toward the 0.618 Fibonacci extension, which aligns with the top of the Ascending Channel. If the bullish outlook remains valid, XRP may target $2.80 – $2.90. This would be 29% higher than its current trading level.
Short-Term Resistance Could Slow Momentum
However, the 1-hour chart indicates the first signs of the pressure shift towards the sellers’ territory. XRP price analysis shows that the currency could not break through the imbalance zone marks to continue the surge to the upside, and this may lead to a slight pullback in the short term.
TehThomas noted that the medium-term bullish trend is still holding, but the breakout may lead to a short-term decline to the support level. However, as long as the price is higher than the 0.618 Fib line, the bullish outlook is anticipated to continue.
Peter Brandt Flags Contrasting Pattern Risk
Veteran trader Peter Brandt has offered a contrasting technical view. Brandt, known for his strict adherence to the charts, has recently highlighted a head and shoulders pattern regarding XRP. If the pattern repeats, he foresees a decline toward $1.07.
Source: X
Brandt explained that anything above $3 could be classified as a short with risks, while anything below $1.90 could confirm bullish trends. To support his claims, he pointed out that his work is technical and not influenced by his emotions or prejudice.
His chart indicates a head and shoulders pattern, a possible reversal pattern widely associated with bears. Brandt’s target, if accurate, would go against the optimism seen in experts such as TehThomas.
The recent decision by the U.S. Securities and Exchange Commission to dismiss the appeal it had filed against Ripple did not instigate an increased demand for XRP as the token remained stagnated. Market participants expected the situation, especially given the new SEC leadership that has been shutting down many legal cases involving crypto firms.