The latest breakout on XRP weekly chart has caught analysts, forecasting a possible surge to $2. Strong liquidation zones at $0.630 and $0.700 stand out. That makes these price levels the epicenter as the bullish sentiment increases.
In the past two weeks, the price of XRP certainly experienced a dynamic rise. Starting from about $0.5 on November 1, the price increased to about $0.6 on November 10.
However, this week, there have been moderate variances. The price has shifted between a high of $0.710 and a $0.650 low creating a little more doubt amongst the market .
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Technical Analysis: Key Levels and Indicators to Watch
XRP’s medium-term upward channel was marked with 2 parallel lines. It made XRP quite predictable at the base end of this channel.
This would translate to high bullish strength as the currency approaches the resistance level around the $0.9 mark.
The ADX value stands at 42.7, strong. Values above 25 on ADX typically indicate a significant trend, plotting more than 40. It implies a strong bullish outlook in the near term due.
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The Stochastic indicator is measuring momentum with a value of 61.00 and 68.62. These are strikingly close to the overbought zone but are still not close enough that they would obstruct trading.
These current readings for this time frame suggest that the crypto is on its way towards overbought territory in this 4 hour timeframe.
As the bull push subsides, the next expected target of resistance sits at $0.90 together with the upper limit of the channel. At this point, as soon as XRP breaks that resistance, a target of $1 would become realistic.
But an inability to preserve the $0.65 support would make the bullish outlook moot. Lower prices would be close to the $0.55 major support zone instead.
Analysts Eye $2 Target for XRP Following Weekly Breakout
XRP confirmed to show a bullish breakout on the weekly timeframe. This indicated that it has moved away from the accumulation phase marking the onset of a significant upward movement.
According to Clifton, the next target price for the token could be as high as $2. This is very bullish for the market.
As pointed out, the chart shows the price region that started the breakout. It’s where XRP has crossed a resistance line after being stuck for a long period along a horizontal line.
The pattern signified start of an upward trend confirmed by events unfolding on the weekly timeframe, which is significant to technical analysis because it depicts long term moves.
Now that the breakout has been confirmed, the anticipation for the next phase is important. Hold on, XRP price might soar towards the $2 mark providing a great opportunity to any investor.
The use of the words “massive bullish rally” stresses the belief that this breakout would enhance the token to rebound to more robust points.
XRP Liquidation levels $0.630 Support An $0.700 resistance Zone
The Liquidation Map indicates the leverage limits for the long and the shorts considering XRP now sits at the price of $0.692.
The left hand of the chart shows long liquidations forming clusters. Should the token price level fall below $0.630 at that particular point in time, a reversal back towards the price will see forced sales.
This would wipe the poor liquidity out. Many longs have their stop losses set in this range and makes it a key area of support.
However, as we move close to the $0.700 levels and XRP starts to break above $0.700 short liquidations further add fuel to the fire.
If the token manages to settle above $0.700 level thus making the upper range stronger, it increases the chances of a second short squeeze. All that tension built up waiting to be released causing the price of XRP to go up.
