An analyst now identifies two key XRP entry points that could lead to a potential rally, aiming for an impressive target of $11.
After experiencing a series of bearish movements, XRP is demonstrating signs of recovery.
Current Market Status
As of the latest updates, XRP is trading at approximately $2.35, reflecting a modest gain of 0.29% over the past 24 hours.
Notably, this figure marks a significant rebound of 4.39% from its recent weekly low of $2.2129.
This recovery coincides with Bitcoin’s resurgence, which climbed back to $95,000 after dipping to $91,000 earlier this week.
This positive momentum is beginning to affect altcoins like XRP, contributing to its upward trajectory.
Analyst Insights on XRP’s Potential Rally
Analyst Ali Martinez recently shared his insights on X (formerly Twitter), projecting that XRP could achieve a rally above the $10 mark.
However, he cautioned that this surge may not materialize during the current market recovery phase.
Two Key Entry Points for Investors
Martinez pointed out two favorable entry points for potential XRP investors.
Firstly, he identified $2.05 as an attractive level for those looking to enter the market.
This price point aligns with the lower end of a rising trendline observed in the pennant formation on XRP’s 12-hour chart.
Investors may want to watch for a dip to this level from the current price of $2.31.
For those who might miss the opportunity at $2.05, Martinez also highlighted $2.50 as another potential entry point.
This price corresponds with a breakout from the pennant formation, providing an alternative for investors looking to capitalize on XRP’s potential growth.
Martinez reassured current holders that regardless of which entry point they choose, the prospect of XRP exceeding $10 remains realistic.
Achieving this target from its current level would represent an astonishing upside of 333% for existing XRP holders.
The Path to $11
While the potential for XRP to surpass $10 is exciting, the journey is expected to be fraught with challenges.
Martinez’s analysis indicates that XRP will encounter various resistances and pullbacks, closely aligned with key Fibonacci levels.
Upon breaking upwards, XRP will first need to overcome the significant resistance at the $3 mark.
Successfully navigating this seven-year barrier could generate sufficient momentum, propelling XRP towards $4.70 in the near term, which corresponds with the 1.272 Fibonacci level.
However, after reaching $4.70, a retest of the $3.70 level is anticipated.
A recovery from this area could set the stage for XRP to enter the $6 price range.
This pattern of retesting previous lows and rebounding is likely to continue until XRP approaches the unprecedented value of $11.80, aligning with the 1.786 Fibonacci level.
Assessing Downside Risks
Despite the promising upside potential of XRP, there are still significant risks to consider.
Community member Amir Kani raised concerns regarding the possibility of XRP breaking down rather than breaking out from its current triangle formation.
In response, Martinez acknowledged this downside risk, identifying $1.50 as a crucial target to monitor.
This price point aligns with the 0.618 Fibonacci level, highlighting the importance of keeping an eye on potential declines.
While XRP is showing signs of recovery and potential growth, both investors and holders should remain vigilant about market fluctuations and the inherent risks involved.
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