Crypto analyst TradinSides has revealed that the recent XRP crash to $2 could have ended the bearish 2nd wave. With that out of the way, the crypto analyst mentioned the factors that could drive the wave 3 impulsive move to the upside.
XRP Price Crash Ends Bearish 2nd Wave
In a TradingView post, TradingSides stated that the XRP price retest of the $2 level could be the end of the second wave in the Elliot Wave of XRP’s bullish cycle. With Wave 2 likely done, Wave 3’s impulsive move to the upside will take place anytime from now. The crypto analyst outlined five factors on which this bullish potential is based.
First, the analyst cited the recent launch of Ripple’s RLUSD as one of the factors that could drive the Wave 3 move for the XRP price. The stablecoin launch has undoubtedly provided a bullish outlook for XRP, especially considering how its price surged following the RLUSD launch on December 17.
Another factor that the crypto analyst listed is Donald Trump’s embrace of altcoins. The US president-elect has already declared his pro-crypto stance and is expected to create a regulatory-friendly environment for these altcoins once he takes office on January 20. The XRP price could make significant gains on the back of this event, as Ripple was one of the major crypto donors to Donald Trump’s campaign and his incoming inauguration.
XRP market cap currently at $128 billion. Chart: TradingView.com
TradinSides also listed the appointment of pro-crypto Paul Atkins as another factor that provides bullish potential for the XRP price. Atkin’s administration is expected to end the Commission’s regulation-by-enforcement approach to the crypto industry.
This could lead to the SEC dropping its appeal against Ripple, another factor the crypto analyst mentioned could provide a major boost for the XRP price. Lastly, the analyst outlined the approval of the XRP ETFs as a factor that could drive XRP’s third wave to the upside.
Analysis Of Higher Timeframes
In an X post, crypto analyst Egrag Crypto provided an in-depth XRP price analysis based on the higher timeframes. For the yearly candle, the analyst noted that a close above $1.99 would be a game-changer. He added that the $1.99 target marks the 2017-yearly candle body closure, and a close above that would be a historical moment for XRP.
While analyzing the six-month chart, Egrag Crypto stated that the XRP price is now steadier, with lower risk and more stable growth than in the 2017 cycle. He predicts that XRP will experience more sustainable price growth this time around.
For his 3-month chart analysis, Egrag Crypto stated that the Relative Strength Index (RSI) in this timeframe still has plenty of room to expand. He added that the XRP price has already crossed the 70 mark, which is “extremely bullish,” and that the crypto still has two more bullish targets at 87 and 96.
Lastly, for the 2-month timeframe, the crypto analyst stated that the XRP price is above the Equilibrium. The last time this happened, XRP saw a massive 13x price increase. In line with this, the analyst remarked that a rally to $13 looks “super easy” to reach.
At the time of writing, the XRP price is trading at around $2.36, up over 4% in the last 24 hours, according to data from CoinMarketCap.
Featured image from VOI, chart from TradingView
