XRP now poised for historic year-end close as it surges above $2 amid the ongoing consolidation in its price.
Recent market data suggests that the altcoin is on track to achieve its highest annual close ever.
This development has caught the attention of traders and analysts alike, especially given XRP’s notable price movements over the past year.
The Bearish Phase Following a Peak
XRP experienced a significant bullish run, hitting a seven-year high of $2.90 on December 3, 2024.
However, this peak was short-lived, as the altcoin subsequently witnessed a nearly 19% decline just three days later.
Since then, XRP has continued to grapple with bearish pressure, despite several attempts to recover.
Analyzing XRP’s Resistance at $2
Throughout its history, XRP has consistently faced challenges at the $2 price level, particularly since its remarkable ascent during the 2017/2018 market rally.
Market watcher Dom believes XRP is on track for this year-end close.
Despite reaching an all-time high of $2.47 in December 2017, the altcoin closed that year at $1.99, just shy of the coveted $2 mark.
This was despite an astounding 33,066% increase from its starting price of $0.00678.
In the subsequent year, 2018, XRP experienced a drastic decline of 82.49%, ending the year at $0.3484.
For the next three years, it struggled to reclaim the $2 level, with its closest attempt occurring in April 2021 when it peaked at $1.96 before facing strong resistance.
The Potential for a Historic Close
Fast forward to December 2024, and XRP has once again reclaimed the $2 price threshold, reaching a high of $2.90 following a recent bullish momentum.
As the year draws to a close, the altcoin remains above the critical $2 mark, positioning it for what could be its first-ever yearly close above this level.
With only a day left in 2024, maintaining this price point would be historic for XRP, signaling a possible shift in market dynamics and the start of a significant upward trend.
Market analysts, including trader Steph, have highlighted the potential for a bullish close, suggesting that such an event could lead to substantial gains for investors: “We’re all gonna be super rich,” he noted in a recent comment.
Current Market Dynamics: Selling Pressure vs. Bullish Potential
Despite the optimistic outlook, XRP is currently facing significant selling pressure as bears attempt to push the price below $2 before the year’s end.
This morning, XRP saw a 1.15% decline, trading at an 11-day low of $2.06, which brings it precariously close to the lower trendline of a bull flag formation on the daily chart.
XRP is currently trading at $2.03.
To sustain its bullish momentum, it’s crucial for XRP’s price to defend this lower trendline.
A breach could lead to a drop below the $2 mark, jeopardizing its chances of closing the year above this significant threshold.
Signs of Bullish Reversal
Interestingly, despite the bearish sentiment in December, XRP has managed to secure a 5.47% gain for the month, forming a bullish green inverted hammer candle.
This candlestick pattern indicates a potential reversal, with the long upper wick signifying that buyers attempted to push prices higher, even as sellers pulled back some gains.
The fact that XRP closed above its opening price suggests increasing buyer strength.
If XRP can uphold the $2 level as 2024 concludes, the subsequent candlestick could signal the beginning of the anticipated price reversal, paving the way for a more bullish trend in the coming months.
While XRP faces immediate challenges from bearish forces, its potential to close above $2 by year-end presents a historic opportunity for the altcoin.
Traders and analysts are closely monitoring the situation, as a successful defense of this price level could herald a significant bullish run for XRP in 2025.
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Also Read: XRP’S Drop Now Sparks Optimism
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