XRP It recently once again tested the multi-year ascending trend line that has been in place for over a decade. Analyst JD emphasized that these retests led to large increases in previous periods and stated that XRP was preparing for a potential rise.
In JD’s post examining price movements, he stated that XRP has experienced a decline of more than 18% this year, with the biggest losses occurring in January. However, the downtrend continues, as the asset faced a relatively low decline in February.
On February 4, XRP fell below a key support level at $0.51, losing 2.97%. Although the asset sought an exit from this area, it failed to make a sufficient recovery the next day and closed below the $0.51 threshold on February 5.
According to the analyst, a retest of this trend line could bring major gains for XRP. However, investors should still continue to monitor the stability of the market and future price movements.
Analyst, cryptocurrency While the unit has yet to reclaim a crucial price point, it suggests that amid the downtrend, XRP is setting the stage for a price rally.
JD states that he has identified a trend line on the monthly XRP market cap chart that plays a decisive support role for XRP.
XRP Retests 10-Year Trend Line
The trend line that has defined XRP’s bottom price since 2014 represents an ascending trend line, showing that the token has consistently recorded higher lows over the past decade. is showing. However, when XRP experiences a major downtrend, it usually retests the support at that trend line.
#XRP – Last two times we tested the 10-year trendline, $XRP 39x – 650x in price w/in a year! We are now testing multi-year trendline!
Can we bounce off trendline to finally break structure?! Do NOT “KNOW WHAT YOU HOLD”, 🤦♂️🤣we taking “calculated profits!”
RT/Like for updates!… pic.twitter.com/flIQcDh4Ls
— JD 🇵🇭 (@jaydee_757) February 3, 2024
While support at the trend line continues, the data points to a more interesting pattern. Whenever XRP retests the support of the trend line, it records a massive price increase.
The asset first retested the trend line in July 2014, when its market cap dropped to as low as $21.95 million. The price of XRP then increased rapidly, reaching a market cap of $865.645 million in December 2014. This represents an increase of 3,843% or 38.4 times in just five months.
XRP tested the trend line again in March 2017, following a persistent price decline that equally affected its market value. After retesting, altcoin It reached an all-time high market capitalization of $128.398 billion in January 2018, up nearly 65,000%.
Koinfinans.com As we reported, XRP’s recent price movements resulted in the third test of a key trend line. This trend line represents an uptrend that has marked XRP’s bottom prices since 2014. Analyst JD noted that, as seen on previous occasions, retests of this trend line often lead to large price increases.
Source : The Crypto Basic