🌎 XRP Forms Bullish Pattern Before Potential Breakout

XRP Price Forms Bullish Pattern, Potential Breakout on the Horizon

The XRP price has been steadily forming a highly bullish pattern, signaling a potential strong breakout in the near term. As of December 13, XRP was trading at $2.4, up 28% from its lowest level this week, and just below its year-to-date high of $2.90.

XRP Price Forms Bullish Flag Pattern

The daily chart reveals that Ripple is slowly forming a bullish flag pattern, characterized by a long vertical line and a rectangle-like formation. This pattern began forming in late October, concluded in November, and has been forming the flag section since December 2. Historically, assets tend to experience a strong rebound when the flag pattern concludes.

In XRP’s case, the breakout will be confirmed when it rises above the descending channel. Additionally, a hammer pattern formed on December 10, with its lower side at $1.9690, aligning with the 38.2% Fibonacci Retracement point. A hammer pattern is a popular bullish reversal pattern, consisting of a long lower shadow and a small body.

XRP is also showing signs of being in the Elliot corrective wave, following the impulse wave. Moreover, it has maintained its position above the 50-day and 100-day Exponential Moving Averages, indicating bullish sentiment.

Potential Catalysts for Ripple

Ripple faces several catalysts that could contribute to its growth. One notable factor is the increased activity of XRP whales, who are accumulating the token. According to CryptoQuant, whale activity has reached an all-time high, signaling that big investors are embracing XRP.

Another catalyst is Ripple Labs’ approval from New York’s regulators to launch the RLUSD stablecoin. Although it is too early to determine the stablecoin’s success, its launch is likely to attract hype from investors.

Furthermore, the XRP Ledger is expected to gain traction among developers, with over $63.5 million in assets, a figure that will continue to grow. Lastly, with the possibility of a cryptocurrency ETF now that Donald Trump has pledged to be a crypto-friendly president, Ripple may experience further growth.

These factors combined could lead to more XRP price gains in the near term. A move above the upper side of the flag at $2.90 will confirm the bullish view. Key points to watch after that will be the psychological point at $3, followed by $5.

For more updates on XRP and other cryptocurrencies, stay tuned to Global Crypto News.