A licensed Chartered Market Technician (CMT) analyst lately shared a chart discussing the XRP price potential for a bullish surge. Basing his projections on key technical indicators, the analyst believes that the XRP value rally nonetheless has a protracted method to go earlier than it reaches overbought ranges.
Technical Indicators Signal XRP Price Bullish Reversal
CMT-certified crypto analyst Tony Severino took to X (previously Twitter) on December 18 to highlight the potential for an XRP price bullish reversal to the upside. The analyst factors to the mixture of historic technical indicators and tightening Bollinger Bands (BB) as a sign of a looming value rally.
The analyst has expressed confidence within the XRP value outlook, admitting that he had underestimated its bullish potential. He revealed that the XRP/BTC quarterly chart appears to be like exceptionally robust, with its three-month candlestick closing above the Bollinger Bands foundation at 0.00001717, for the primary time since April 2019.
Severino revealed that the XRP value had touched the higher Bollinger Band at $0.0000286, a crucial stage usually related to important bullish momentum. According to the analyst, a quarterly shut above this higher band might function a buy signal for XRP, emphasizing that the Bollinger Bands are at the moment at their tightest ranges within the XRP/BTC historical past.
In addition to this growth, XRP’s Relative Strength Index (RSI) on the three-month chart is 47.87, steadily transferring in direction of 50 after breaking above its RSI-based transferring common at 43.44. Severino famous that an RSI above 50 typically signifies growing power in a cryptocurrency, and traditionally, a number of the largest value actions have occurred at an RSI above this stage.
The analyst additional revealed that XRP’s Fisher Transform is flipping bullish. This technical indicator is used to establish turning costs and development reversals in cryptocurrencies. According to Severino, XRP’s Fisher Transform turned constructive after displaying a multi-year bullish divergence, which additional strengthens its potential for a value rally and optimistic outlook.
Momentum Oscillators Indicate Extended Upside
In addition to its technical indicators, Severino has revealed that momentum oscillators such because the Logarithmic Moving Average Convergence Divergence (LMACD) and Stochastic Oscillator level to a possible value rally for XRP. Currently, the bearish momentum for XRP’s LMACD is weakening and steadily approaching a bullish crossover for the primary time on the XRP/BTC chart. This pivotal shift suggests a potential trend reversal, signaling an prolonged upside for the XRP value.
Meanwhile, the Stochastic Oscillator on the %Okay line has hit its highest studying of 71, indicating a possible for a powerful continuous upward momentum. The technical indicator additionally highlights that XRP nonetheless has a protracted method to go earlier than it enters overbought territory. As of writing, the XRP value is buying and selling at $2.36, marking a 6% lower from its earlier value of $2.5 prior to now 24 hours, in keeping with CoinMarketCap.
Featured picture created with Dall.E, chart from Tradingview.com
