Crypto analyst Dark Defender (@DefendDark) has updated his 108,000 followers on X about the XRP/USD market outlook with a 3-monthly chart. In his latest analysis, he points to an imminent major price movement before the end of this quarter, in other words by the end of September.
XRP Price On The Verge Of Ultimate Breakout
The chart shared by Dark Defender illustrates a symmetrical triangle pattern, a typical continuation formation where converging support and resistance lines suggest decreasing market volatility and potential for a significant breakout. This pattern is formed by the convergence of a downward-sloping resistance line and an upward-sloping support line.
In XRP’s case, the candles are compressing toward the apex of the triangle, suggesting that volatility is decreasing as the market consensus builds strength. This setup is crucial as it implies that the price could make a substantial move once it breaks out of the triangle, either upward or downward.
The chart labels the downward sloping trendline as ‘Ultimate Resistance’. This line represents a psychological or historically significant price level that XRP has struggled to surpass in previous rallies. On the contrary, the upwards trending line marks the ‘Ultimate Support’.
Notably, the XRP price has already dipped below this support line in July, but managed to find support at the 23.60% Fibonacci retracement level at $0.3917. The XRP is now heading north.
At the time the chart was created, the price was already slightly above the trend line. However, this does not mean anything yet; a candle close at the end of the quarter, on September 30, 2024, will be the ultimate challenge. If the XRP price closes above the trendline, the way would be clear for Dark Defender’s extremely bullish price targets.
Price Targets
The 70.20% mark at $0.6649 is posited as an immediate resistance in an upward journey. A breach above this point could confirm the bullish sentiment. Moreover, it could validate the “ultimate breakout” from the multi-year trend.
The 100.00% level at $0.9327 represents a full retracement of previous decline which started in July last year after the summary judgment in the Ripple vs. the US Securities and Exchange Commission (SEC) case was made. Further extending into bullish territory, the 161.80% level at $1.8817 offers a mid-range target for a post-breakout rally, suggesting a substantial upside potential if the momentum continues.
According to the Dark Defender’s analysis, the 261.80% level at $5.8579 outlines a more aggressive bullish outlook, marking a scenario where market fundamentals and investor sentiment align to drive prices significantly higher.
Finally, the 361.80% level at $18.2364 represents the ‘ultimate breakout’ target, a highly optimistic projection that would require a major shift in market dynamics, potentially driven by impactful macro economic trends and the news from the Ripple and XRP ecosystem.
At press time, XRP traded at $0.5989.
Featured image created with DALL·E, chart from TradingView.com