Market analyst Casi has set price targets of $8 to $13 for XRP once the altcoin breaks out of its six-year consolidation phase. Casi’s analysis is based on XRP’s historical price movements, particularly its tendency to consolidate within triangular formations. According to the analyst, the next breakout could push XRP’s price to significant levels between $8 and $13.
In a post on X, Casi studied XRP’s past behavior and emphasized how it has traditionally moved within triangles. This pattern typically consists of an initial upward wave followed by a series of corrective moves forming an ABCDE triangle and trading within a consolidation phase.
Currently, XRP is trading within this pattern on the monthly chart. It reached its peak of $3.84 in January 2018 and has since corrected to trade within the consolidation phase. This phase has lasted for six years, and attempts to break it in April 2021 were unsuccessful.
Despite the ongoing consolidation, Casi believes that XRP has the potential to reach a price peak similar to what was observed in 2018 once a breakout occurs. However, she notes that the extent of the first breakout wave is uncertain at this stage due to XRP forming a new trend.
To determine potential extension targets, Casi measures from the apex of the current triangle, which is positioned at $0.54, to the anticipated breakout high. These measurements suggest key levels around $8.20, with the possibility of reaching as high as $13.
Casi utilizes the 5-Wave Elliott Wave structure to determine XRP’s price direction. Understanding the depth of the initial correction following the breakout is crucial in this analysis. A shallow correction with Wave A pulling back to around 38.2% of the initial breakout move could result in XRP stabilizing around $8. This scenario would lead to a target of $13 for the initial breakout and imply a less severe correction phase before XRP resumes its upward trajectory.
On the other hand, a deeper Wave A correction could result in a more extended ABC pattern, with price movements retracing more significantly before finding support. This deeper correction would imply a more volatile price action but still within the identified price targets.
Despite the recent recovery, XRP’s price is currently trading at $0.5268 and is approaching the apex of the current triangular consolidation. It still trades below the 50-day EMA ($0.5317) and 200-day EMA ($0.5806), indicating bearish momentum in the short and long terms.
The ongoing SEC lawsuit and Ripple’s sales have led to suggestions of XRP price suppression. However, the end of the legal battle and a resurgence of institutional interest could provide enough strength for a push toward the $13 target.
It is worth noting that another market analyst, Bobby A, previously set a similar price target range of $8 to $13 for XRP, which remains valid as of January.
Disclaimer: This content is for informational purposes only and should not be considered financial advice. The views expressed in this article are the author’s personal opinions and do not reflect the opinion of The Crypto Basic. Readers are advised to conduct thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
