Analyst Points to Potential XRP Flash Crash Followed by a Rebound

Author : Elisabeth Louise | Published On : 22 Jan 2024

Egrag Crypto's recent analysis of the $XRP market has brought attention to a potential flash crash scenario if the Blue and Red Channels align. According to the analysis, such alignment could result in a rapid decline to 0.28c, followed by a rebound to 0.41c. The intricate relationship between these channels has been ongoing for almost 600 days.

Despite spending 580 days in the Red Channel in the past, $XRP exhibited resilience with higher lows, indicating the possibility of future surges. The analysis also suggests that external factors, such as a drop in Bitcoin's value, could impact XRP and contribute to a broader market shakeout.

Egrag Crypto highlighted upper price targets, including 0.60c, 0.75c, 0.95c, and $1.3, as critical levels for confirming a bullish trend. Achieving a weekly close above these levels could signify strong support and an upward trajectory. However, the analysis also cautions that a potential 50% drop remains plausible, drawing parallels to the dramatic market moves observed in 2017-2018.

In response to the market dynamics, Egrag advises the XRP community to remain vigilant, emphasizing the possibility of market makers engineering an independent surge, potentially pushing XRP to $5. While the 90-day window remains open, the analysis encourages preparedness for various outcomes, stressing the importance of avoiding excessive leveraging to prevent significant losses.

As of the latest financial records, XRP is priced at $0.549265, reflecting a 3.02% dip within the past 24 hours. The analyst's detailed price chart, with circle marks and text annotations indicating key price targets, provides insights into the potential breakouts and market momentum.