XRP price action on the 4-hour time frame showed a classic bullish flag pattern, signaling a consolidation phase after a significant uptick.
Initially, XRP surged, reaching a high of $2.44, before entering a period of consolidation, forming a downward sloping channel that indicated a bullish flag formation.
The pattern which was characterized by its tight price movements and declining volume, suggested a potential for further uptrend.
XRP slightly pierced through the upper boundary at $2.35, confirming the bullish sentiment. Post-breakout, the price of XRP quickly rose, reaching $2.46.
Analysts World of Charts noted the pattern and volume increase during the breakout, anticipated a potential target of $3.50, predicting a near 49% increase from the breakout point.
Key support during was established around $2.30, which XRP maintained throughout the consolidation, ensuring a stable base for the impending price surge.
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This suggested XRP was on the cusp of a bullish phase, with expectations for considerable gains above 49% if momentum continued.
Early Signs That Could Have Helped Spot XRP Price Surge
XRP/BTC pair revealed notable trading patterns, especially around the emergence of double bottoms.
The first double bottom occurred in June and November of 2020, which was a precursor to a significant price surge in late November.
This rally, although strong, was short-lived as it was followed by a steep decline in December 2020 after legal actions were taken against Ripple.
A similar pattern was identified in 2024 suggesting a potential repeat in price action. The initial low was set in June, followed by another in early November.
These XRP support levels historically signaled buying opportunity. As predicted earlier, this setup suggested a potential bullish movement.
The spike in November indicated that the analysis of XRP in BTC value rather than USD could provide clearer insights into its market movements.
Earlier observation of XRP/BTC pair could have led to possibly a more timely entry of the current XRP surge.
This cyclical nature and predictive potential within XRP, offering a strategic view beyond mere fiat comparisons.
XRP Ledger On-Chain Active Addresses
Additionally, the XRP Ledger depicted a surge in ecosystem activity with increase in on-chain transactions and rising outflows from exchanges.
Active addresses in the ledger spiked reaching a yearly peak of over 100,000. This underlined a shift from primary CEX transfers to a broader, more engaged user base, contributing to the ledger’s vibrancy.
The liquidity measures also showed substantial growth. The sharp rise in the XRP Ledger’s liquidity, highlighted an increased usage and interest. As well as a rise in the platform’s capabilities beyond simple asset transfers.
This expansion supported by infrastructure developments and the introduction of new DeFi projects which enhanced the ledger’s utility and accessibility.
These projects, including The Root Network, XRPL EVM, and XRPL Hooks, were pivotal in evolving the ledger’s infrastructure. It was mirroring successful models from other Layer 1 networks.
The wallet sector, too, saw innovations with Xaman and Girin Wallet, which are improving user experience and security.
In DeFi, Firstledger, Magnetic, Sologenic, and Lotus Protocol fostered a dynamic environment for decentralized finance on the XRP Ledger.
These developments indicated a maturing ecosystem poised for future growth, with potential for the emergence of competitive projects that could parallel the likes of Uniswap and Chainlink.
