XRP continues its quest for a significant catalyst that could propel the price to the $1 mark, considering that the token’s valuation has largely stagnated below this threshold for several months.
Despite the overall bullish sentiment in the market, the ongoing legal battle between Ripple and the Securities and Exchange Commission (SEC) has yet to trigger any significant upward movement in XRP.
Amidst this prolonged consolidation, cryptocurrency analyst Egrag Crypto believes that XRP’s anticipation for a potential breakout may soon come to fruition. In an X (formerly Twitter) post on April 12, the expert acknowledged that XRP currently finds itself in a unique position, caught between bullish optimism and bearish pressure.
XRP price analysis chart. Source: TradingView/Egrag Crypto
XRP’s investor frustration
The analyst suggested that the delicate balance has confined XRP’s price within a well-defined range, frustrating attempts by both bulls and bears to dominate the market. Despite the challenges posed by this extended period of sideways movement, the market expert emphasized that it is a crucial foundation contributing to the coin’s structural health.
Additionally, he pointed out that during this prolonged consolidation, XRP resisted significant movements in either direction, with neither bullish nor bearish forces able to tip the scales decisively.
“This consolidation phase has persisted since August 2023, lasting nearly 8 months. While the extended sideways movement may seem challenging, it is a foundational and structurally healthy formation,” the analyst said.
Hence, this stability, though potentially frustrating for traders eyeing quick profits, lays a foundation for forthcoming price actions, likely to propel the token upwards.
XRP’s path to $1
At the time of reporting, XRP was trading at $0.609, marking a slight correction of approximately 1% over the last 24 hours.
XRP one-day price chart. Source: CoinMarketCap
It’s worth noting that despite the recent surge in bullish sentiment, XRP has remained stagnant below the $0.70 threshold. Consequently, investors anticipate potential market movements that could leverage the asset toward the $1 mark.
According to a Finbold report, analysts have identified $0.6649 as a critical level to monitor, as it could serve as a vital support level on the path toward $1.
In the meantime, XRP faces various potential bullish scenarios, with the prospect of Ripple unveiling a stablecoin ranking among the key elements to watch. Such an announcement could serve as a much-needed catalyst, particularly in light of 2023’s legal developments where XRP was deemed not to be a security in a partial victory for Ripple.
Furthermore, given the heightened whale activity surrounding the coin, there is keen interest in how XRP will fare in the short term. Notably, data by Whale Alert indicates that 42.5 million XRP moved to various cryptocurrency exchanges, a factor likely to impact the token’s price trajectory.
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