Time To Sell XRP? Price Completes Head And Shoulder Pattern, Suggesting Crash To $2.2 Is Imminent

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As a seasoned researcher with a keen interest in cryptocurrencies and a particular fondness for XRP, I find myself torn between two perspectives when it comes to this coin. On one hand, I am intrigued by the bullish outlook presented by analysts like Dark Defender, who sees XRP reaching $18 in this market cycle. On the other hand, the bearish prediction of TradinSides, with his Head and Shoulders pattern analysis, has me worried about a potential crash to $2.2 or below.

According to TradingSides, a crypto expert, he advises investors to consider ending their XRP buy-and-hold positions, as he spotted a bearish trend indicating a possible substantial drop in XRP’s price.

XRP Price Could Crash As Head And Shoulder Pattern Forms

In a recent TradingView post, TradinSides suggested that the price of XRP might plummet due to the potential formation of a Head and Shoulders pattern, which could lead the cryptocurrency to $2.2 or lower. The analyst explained that this downturn could occur if certain favorable aspects for the altcoin do not materialize as anticipated. Specifically, TradinSides highlighted the RLUSD stablecoin and the forthcoming XRP ETFs as key factors that need to occur positively for XRP to avoid a price correction.

As an analyst, I find the underlying factors of XRP encouraging for a potential price increase. However, I must acknowledge that XRP is currently grappling with substantial selling pressure. This stems from the Securities and Exchange Commission’s decision to appeal the Ripple case verdict, which has negatively influenced demand and market sentiment. Additionally, the recent reappointment of SEC Commissioner Caroline Crenshaw could potentially shape the outcome of the Ripple case and, in turn, influence the price trend of XRP.

The analyst pointed out that Crenshaw’s renewed position will be decided on December 18. But, if Crenshaw isn’t re-nominated successfully, Donald Trump might choose a new Commissioner instead. It’s important to note that Crenshaw’s re-nomination is crucial because the SEC needs to submit their opening arguments in the appeal case by January 15.

If she gets re-elected, there’s a good chance she would support the Commission in submitting its initial argument, as she has shown a strong opposition to cryptocurrencies in multiple instances. The crypto expert predicts that the altcoin might encounter selling pressure if the SEC decides to proceed with the appeal.

If the SEC chooses not to pursue its appeal, TradingSides anticipates that the Commission might follow suit. In such a scenario, the agency may approve the pending XRP ETF applications, potentially increasing demand. Conversely, if approval doesn’t occur, the crypto analyst foresees the Head and Shoulders pattern influencing the XRP price to reach around $2.2.

The State Of Things

In a recent post on X, crypto analyst ‘Dark Defender’ shared insights about the current price trend of XRP. According to him, the 4-hour chart indicates that XRP has indeed broken its current position. He further mentioned that if XRP manages to surpass $2.52 on the daily chart, it could potentially rise to $2.72.

The crypto expert also emphasized important milestones to keep an eye on. He noted that $5.85 and $8.76 are potential short-term goals. Simultaneously, he pointed out that $2.29, $2.24, $2.10, and $2.02 could serve as support points to monitor. Previously, Dark Defender forecasted that the XRP price might rise to $18 in this market trend.

As I type this, the current value of XRP is approximately $2.41 per coin, and it has increased over the past 24 hours as reported by CoinMarketCap’s data.

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2024-12-16 20:46