A striking parallel between current XRP’s price actions in 2024 and its historical rally in 2017, both showed bullish momentum.
XRP’s market capitalization mirrored the early stages of its 2017 ascent, suggesting the potential for similarity. The pattern, was followed by a consolidation phase around a key support level.
By mid-2017, XRP market cap surged by more than a sixfold increase from its initial value. This resurgence in value suggested an optimistic outlook for early 2025 based on historical trends.
Notably, the recent movement aligned closely with a stay above moving averages, supporting the bullish sentiment in the market.
The proximity to the MAs in late 2024 historically indicated a stronger price support level. This reinforces the likelihood of continued uptrend.
Given the cyclical nature of XRP’s market behavior and its adherence to past patterns, the potential for repeating a substantial rally into early 2025 appears feasible.
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XRP Price: Impact of 6-Year Long Consolidation
Further analysis of XRP price action revealed a close alignment with established Elliott Wave principles.
The consolidation period that spanned over six and a half years positioned XRP for a potential parabolic run.
Longer consolidation durations precede more dynamic price breakouts, especially in assets with disruptive potential like XRP.
Previously, the ascent from Wave 1 to the peak of Wave 3 set a formidable precedent. Using the Fibonacci tool, it projected a final blow-off top for Wave 5, which could potentially reach $16 to $33.
This projection considered the extended nature of Wave 3. Further extension levels at 3.618 and the length of Wave 1 multiplied by 1.618 reinforced these targets.
Historically, the market behavior of XRP showed that after long periods of accumulation, the asset was capable of executing sharp rallies.
This blend of setup and market psychology indicated the expectation for XRP’s price to manifest a dramatic increase. It would fulfill the anticipated cycle climax.
Ripple’s Donation to Trump’s Fund
Ripple’s $5 Million donation in XRP to President-elect Trump’s fund set a record for the largest single contribution in U.S. inauguration history.
This donation matched previous historical donations. It emphasizes Ripple’s intent to foster relationships with influential political figures. And perhaps advocate for favorable regulatory frameworks for cryptocurrencies.
The donation also aligned with Ripple’s broader strategy to gain political goodwill and potentially influence future cryptocurrency regulation.
Given Trump’s expected pro-crypto stance, this move by Ripple could attract more investors to XRP. With hopes that a favorable regulatory climate under Trump’s administration could boost the crypto’s value and utility.
This event, coupled with the broader trend of increasing crypto contributions to political campaigns, indicated a growing integration of digital currencies within the political and financial mainstream.
Major crypto entities like Coinbase and Kraken also made substantial donations, signaling a concerted effort from the crypto industry to secure a favorable stance from upcoming U.S. administration.
