XRP has shown tremendous potential after the price bounced from a major trend line and has now managed to turn previous resistance levels into support. As the cryptocurrency market appears to be in an upward trend, it is likely that the price of XRP will continue its current upward trend in the new week. If this happens, crypto analyst Lingrid suggests that this move could bring the digital asset back to its all-time high before the next major downturn.
XRP is in a Perfect Position to Continue
In the analysis, Lingrid points out that the price of XRP is currently holding a significant support level above $3. This follows a sharp decline below this level, where the bears had defeated the price. However, as the uptrend line shifts, this cryptocurrency has been able to break above, signaling the potential for a continued upward trend.
Initially, the analyst predicted that the price would drop back below $3.2, but the focus is on the $3.15 support level that may hold firm after a recovery. This level is now the one to watch, especially if the price structure can remain intact from here.
In the event that the price bounces off the $3.15 support level and breaks out, Lingrid predicts that the price of XRP will rise sharply. The buying zone here is in the $3.1-$3.2 range, with a break above $3.4 confirming the buy signal.
As this move occurs, the price is expected to increase by 20% and head toward $3.8. This is the next important resistance level for XRP after completing the breakout. 'A breakout above $3.4000 could pave the way for accelerated momentum. The trend remains bullish as long as the price holds above the important support level,' Lingrid noted.
Bears Can Still Maintain Control
As with any analysis, there is a possibility of invalidation and the price of XRP could eventually move in the opposite direction. In this case, if the price drops below $3 again, the invalidation move will allow the bears to regain control.
Lingrid explains that this breakout will shift the trend to bearish. There is also a possibility that the price may increase slightly due to market weakness. Even if the altcoin XRP completes its upward momentum to $3.8, this cryptocurrency analyst states that the resistance level near $3.8 could also trigger a strong rejection.