XRP Breaks Out of Bullish Flag Pattern – $4 Target in Sight

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This article is also available in Spanish.

XRP has caught the attention of the cryptocurrency market with its impressive gains, increasing by over 45% in just six days. The token’s growth reached a modern milestone on Thursday, breaking its record high, cementing its position as one of the best-performing assets in the market. With Monday’s inauguration of President-elect Donald Trump on the horizon, speculation about his administration’s potential impact on the crypto space is fueling even greater sentiment for XRP.

Top analyst Ali Martinez recently shared a technical analysis highlighting the token’s sturdy price action. According to Martinez, XRP appears to have broken out of a bullish flag formation, which is a technical indicator that often signals a continuation of an uptrend. Based on this pattern, the price may be preparing to move up to $4, a significant level that will represent another major milestone in the ongoing rally.

As XRP continues to outperform, investors are closely monitoring the token’s next moves, with many believing it could benefit from a more cryptocurrency-friendly environment under the modern administration. With sturdy technical indicators and growing market optimism, XRP appears poised for further gains, making the coming days a key moment for this asset.

XRP ready for a huge rally

XRP’s week has been highly volatile, with price action drawing attention from the cryptocurrency market. After falling to $2.32 earlier in the week, XRP has made an impressive rebound, reaching modern all-time highs around $3.40. This is a historic moment for the cryptocurrency as it has finally surpassed its previous all-time high set in 2018, breaking a seven-year record. This achievement has renewed enthusiasm among analysts and investors, who now see XRP as one of the hottest assets on the market.

Market sentiment is overwhelmingly bullish, with many expecting XRP’s momentum to enhance further in the coming weeks. Most recently, Martinez shared technical analysis on Xrevealing that XRP has broken out of a bullish flag – a continuation indicator often associated with significant price increases. Based on this pattern, Martinez predicts that XRP could be preparing to surge to $4, signaling another major milestone for the asset.

XRP bull flag breakout | Source: Ali Martinez on X

Adding to the optimism is the broader macroeconomic environment as President-elect Donald Trump takes office on Monday. Many people believe that XRP and the broader market could benefit from favorable policies and increased investor interest, anticipating a pro-crypto administration.

As XRP enters this key phase, investors are closely monitoring its ability to sustain its recent gains and continue its upward trajectory. With technical indicators leveling out and market optimism growing, the coming days could be pivotal for XRP, setting the stage for even higher price levels in 2024.

Price discovery phase: what to expect

XRP is currently trading at $3.20, after recently rising to an all-time high (ATH) of $3.40. Price action remains extremely bullish, with sturdy momentum suggesting the potential for further gains in the coming days. Analysts and investors are hopeful that XRP can surpass the newly set ATH, marking another milestone in the ongoing rally.

Testing prices in uncharted territory | Source: XRPUSDT chart on TradingView
Testing prices in uncharted territory | Source: XRPUSDT chart on TradingView

Maintaining the $3.00 level is crucial to maintaining this momentum. This psychological and technical support underpins continued bullish sentiment. If XRP manages to consolidate above this level, it will strengthen confidence among traders and signal the strength needed to attempt another breakout.

However, the market remains highly volatile, and XRP is no exception. The rapid price movements observed in recent weeks highlight the potential for liquidity fluctuations and aggressive corrections. Such volatility highlights the importance of risk management, as sudden declines can occur before another enhance.

As XRP enters this key phase, investors are closely watching for signs of sustained strength or a potential reversal. If XRP maintains its momentum and maintains key support levels, it could be poised to extend its bullish trajectory and reach modern highs in the near future.

Featured image from Dall-E, chart from TradingView

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