Cryptocurrency analyst JD (@jaydee_757) recently highlighted the possibility of XRP experiencing a significant breakout, reminiscent of its 2017 rally. Posting on X, JD noted, “If $XRP confirmed breakout on both the logarithmic & non-logarithmic scale this weekend, I can see #XRP doing a 2017-like move!”
This observation has sparked discussions among traders and investors about XRP’s potential to deliver substantial gains in the ongoing market cycle.
Technical Analysis Points to a Breakout
JD’s post emphasizes the importance of using technical analysis to monitor XRP’s price movements. The suggestion that XRP has broken out on both logarithmic and non-logarithmic scales indicates bullish momentum that could lead to significant price appreciation.
Historically, XRP’s parabolic moves, such as those seen in 2017, have occurred when strong technical patterns aligned with broader market trends, and analysts have been noticing promising signs on the charts.
A prominent crypto analyst recently showed a bullish combination of increasing volume, bullish MACD, and a symmetrical triangle pattern. The digital asset was in a similar situation last January 2018, when it surged from pennies to its all-time high of $3.84.
Breakouts on logarithmic scales like JD expects often provide a clearer picture of long-term trends, especially in volatile markets like cryptocurrency. A breakout on both scales suggests consistency across different perspectives, increasing confidence in the likelihood of a sustained upward move.
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The Risks of FOMO and Overconfidence
While JD’s analysis has generated excitement within the XRP community, he also cautioned against overreliance on market hype. JD advised traders to “use TA to determine your Take Profits & Ignore the hype from influencers.” This serves as a reminder of the risks associated with market euphoria, particularly during bull cycles.
In previous bull markets, many investors fell victim to fear of missing out (FOMO), leading them to hold assets longer than necessary in the hope of even higher returns. This often resulted in significant losses during subsequent corrections.
Another prominent analyst recently predicted that the digital asset will show 97% of investors what FOMO feels like. JD’s warning shows the importance of setting clear profit-taking strategies based on data rather than emotions or speculative hype.
At press time, XRP traded at $1.13, up 6% over the past 24 hours. The digital asset recently crossed $1.2 for the first time since 2021, and all signs point toward a continued rally.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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