According to the latest analysis from Egrag, a popular market watcher, XRP could have huge upside potential in the foreseeable future. Based on his research based on the asset’s past performance, Egrag concluded that XRP could experience a 300-fold increase. has arrived. This indicates that the end of the bear market that XRP is currently going through is near.
According to Egrag’s analysis, the value of XRP often fluctuates depending on market cycles. According to the analyst, XRP typically ends the bear market with multiple closes above the Gaussian Channel. This pattern has been observed twice, each time leading to a massive drop before starting an impressive rally for the asset.
Unlike other trend indicators, the Gaussian Channel performs statistical calculations based on historical price data to create a channel around current prices.
Egrag noted that in 2017, XRP recorded multiple closes on the Gaussian Channel before experiencing a massive 30% drop in the second half of the year. However, 120 days after the drop, XRP started a massive rally that saw it gain 30,069% from late 2017 to January 2018.
The popular altcoin also witnessed multiple closures on the Gauss Channel in the second half of 2020 and fell 14.80% soon after. It took 75 days for XRP to close above the Channel again after the drop and started another rally in January 2021.
XRP Wants To Repeat The Cycle
According to Egrag, the altcoin wants to repeat this cycle once again. Recently, XRP has made multiple closes above the said channel. Egrag pointed out that as in 2017 and 2020, XRP is facing a decline. He emphasized that it has been 20 days since XRP encountered decreases.
Egrag also pointed out that XRP has so far experienced a larger decline than has been observed in 2020. He suggested that it is possible for the asset to remain in a downtrend for more than 75 days.
As a result, as we are currently going through a bear market where the price of XRP is on a downward trend, Egrag argues that the bear market is about to end. This could also be a positive development for the altcoin price. However, Egrag’s analysis is only a guess and it is not possible to predict future price movements with precision. The cryptocurrency market is highly volatile and can change depending on many factors. Therefore, investors should do their own research and consider market conditions before investing in XRP or other cryptocurrencies.
You can follow the current price action here.
Source : the crypto basic