Market veteran Tony Severino suggests that the XRP price may have finally hit its lowest point against Bitcoin (BTC), indicating a potential reversal in the near future.
While Bitcoin has been experiencing an upward trend since December 2022, XRP has struggled to maintain consistent growth during the same period, resulting in a significant underperformance compared to Bitcoin.
Currently priced above $62,000, Bitcoin has seen a remarkable 261% increase since December 2022. In contrast, XRP has only experienced a modest 27.8% rise in the same timeframe. Many experts believe that this underperformance can be attributed to the ongoing legal battle between Ripple and the SEC.
XRP had briefly shown signs of a breakout in July 2023, following the legal clarity it received in the United States. However, after reaching a high of $0.93 (equivalent to 0.00002970 BTC), XRP experienced a retracement, causing its price to plummet to a low of $0.4225 in August 2023.
During this retracement, Bitcoin entered into a pre-bull phase rally in Q4 2023, resulting in a continuous downtrend for the XRP/BTC monthly chart. As a result, Bitcoin consistently outperformed XRP every month, leading to nine consecutive months of losses for XRP against BTC since August 2023.
However, there is hope that this downward trend may be coming to an end. Market veteran Tony Severino, also known as “The Bull,” has recently identified a potential bottoming signal for XRP against Bitcoin on the monthly timeframe. This signal indicates that the continuous declines may be reaching their conclusion, with a trend reversal on the horizon. This has sparked optimism regarding the future price movements of XRP.
It is worth noting that similar trends were observed with XRP during the 2017 market cycle. Despite experiencing a bearish performance against Bitcoin and the broader market in 2017, XRP managed to outperform BTC by a staggering 3,716% within a year after hitting the bottom in February 2017.
This past performance has boosted confidence in an upcoming price surge for XRP, especially considering that it may have reached its anticipated bottom. Analyst Charting Guy has set a fractal target of 0.00006486 BTC per XRP once a rally commences. At Bitcoin’s current price, this would translate to a value of $4.09 for XRP.
However, it should be noted that the analyst, like many other crypto market veterans, does not expect Bitcoin to remain stagnant. If Bitcoin achieves its targets for the current bull run, reaching around $85,000 to $100,000, XRP’s price could potentially reach $5.51 to $6.48 if it skyrockets to 0.00006486 BTC after hitting the bottom.
At present, XRP is trading at $0.5213, aiming to recover from the 20.44% loss it experienced in the previous month. To achieve this goal, XRP would need to surpass multiple resistance levels, with a crucial one located at $0.5582 (Fibonacci 0.5). Breaking above this level would bring XRP closer to $0.5916, which serves as the gateway to $0.60.
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