As the cryptocurrency market continues to navigate turbulent conditions, a market expert, EGRAG, has identified a promising technical pattern that could potentially propel the price of XRP to soaring heights. According to EGRAG’s analysis, the formation of a quarterly hammer candlestick pattern on XRP’s 3-month chart could pave the way for the asset to surge either to $8 or $27, depending on the trajectory it follows.
XRP’s Hammer Candlestick Formations
EGRAG, a respected market analyst, has closely examined XRP’s historical price movements and identified two previous instances where the cryptocurrency formed a hammer candlestick pattern on the 3-month timeframe. The first occurrence was from April to June 2016, while the second was from July to September 2017.
Interestingly, after the formation of each of these hammer candlesticks, XRP experienced substantial price increases. Following the 2016 candlestick, XRP spiked 5,550% from June 2016 to $0.39887 in April 2017. Similarly, after the 2017 hammer candlestick, XRP rallied 1,745% to the all-time high of $3.31 in January 2018.
Potential XRP Price Targets
EGRAG has now set its sights on the current 3-month candle for XRP, noting that the cryptocurrency is on the verge of forming another hammer candlestick pattern. For this to occur, XRP must secure a close above the $0.55 to $0.58 range by the end of this month.
If XRP forms the hammer candlestick, the market analyst believes it could either follow the trajectory witnessed after the first hammer candle or the second hammer candle. Should XRP take the path triggered by the first candle, EGRAG’s chart suggests its price will rise 1,744% to $8.
However, if XRP moves along the trajectory triggered by the second hammer, its price movements will record a 5,500% surge to $27. EGRAG emphasized that this path would involve a longer time frame, with a rise to $1.3 followed by a retracement before an eventual pump to the $27 target.
It’s worth noting that EGRAG had previously projected the $27 target for XRP in analysis three months ago. Still, the technical setup that influenced this projection then was a bullish SMA cross.
As the cryptocurrency market eagerly awaits XRP’s price movements in the coming weeks, investors are advised to closely monitor the asset’s performance and the formation of the potential hammer candlestick pattern in the 3-month timeframe.
