In a recent technical update EGRAG Crypto presented a compelling case for the XRP price, with historical comparisons that are suggestive of a significant upward trend. The focal point of his analysis is the Average Sentiment Oscillator (ASO), an indicator that provides insights into market sentiment by depicting the proportion of bullish to bearish perspectives through a blue and a red line, respectively.
XRP Price On Course To Hit $27
The updated ASO chart shared by EGRAG Crypto highlights a bullish cross that took place on October 3rd, 2023. This event is critical as it is indicative of a shift in market sentiment in favor of a bullish outlook.
The analysis draws a parallel to the formation observed in 2017, labeled as point A on the chart, which was followed by a 55,000% rise in the price of XRP over a span of 275 days. This historical event is used as a benchmark to compare current market behavior.
The analysis further references a similar bullish cross occurring between late 2020 and 2021, leading to a 1,500% rise in the asset’s value over 273 days, reinforcing the significance of such crossovers as precursors to considerable price movements.
Presently, the chart illustrates what EGRAG describes as “the largest jaw,” referring to the substantial gap between the bullish and bearish sentiment lines on the ASO. Egrag views this divergence as an indicator of a potentially stronger bullish trend than previously observed.
With the pattern of 9 bars, or 274 days, since the last bullish cross mirroring the timing of the past surges, EGRAG’s analysis suggests that XRP will be on a similar trajectory by July this year.
Notably, the ASO trendline is currently trending down again. According to the crypto analyst, however, this is no cause for concern. XRP remains on its bullish path. “Confidently, I can affirm that the current curve closely resembles the formation seen in 2017. Check out the chart below labeled “Check Here” for a visual representation,” Egrag states.
While the ASO’s centerline at 50% marks a balance point between bullish and bearish sentiments, the current bullish sentiment line is well above this threshold, reinforcing the expectation of a continued rise in price.
Using the XRP price movement from the previous instances of ASO bullish cross, Egrag extrapolates that the XRP price could reach $27 by July 2024. Therefore, Egrag’s advice to the XRP army is quite simple: “STAY STEADY! The key to winning this game is to #BUY, #HODL, and sit on your ass. Simply as Raoul Pal says, ‘Do not Fuck it up.’”
At press time, XRP traded at $0.57051.
Featured image from Shutterstock, chart from TradingView.com
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