Market analyst EGRAG has revisited his analysis of XRP’s price action, predicting a potential surge above $27 based on the development of a “megaphone pattern.” This prediction comes during the ongoing volatility in the cryptocurrency market, though the token has shown notable resilience recently.
Despite broader market pullbacks, XRP demonstrated a 10% rally last weekend, only to face a modest retracement. As the market recovered, the asset has led the pack, showing a notable 16.82% gain in the past week.
Understanding the XRP Megaphone Pattern
This analysis focuses on a broadening price pattern known as the “megaphone pattern,” formed on XRP’s 1-month chart. This pattern is characterized by higher highs and higher lows, indicating that bulls are in control, despite the increased volatility.
According to EGRAG, the megaphone structure has a 70% win ratio and can be more reliable on longer timeframes.
The pattern was first identified by EGRAG in March 2023 when the token was priced at $0.3895. At that time, the analyst noted that the megaphone pattern had formed, representing potential future price increases. The structure’s distinctive feature is its three major bottoming phases and three major price upswings.
#XRP – Megaphone Pattern (UPDATE):
👉Recall:
Who remembers the Megaphone Pattern from March 2023? If it doesn’t ring a bell, here’s a recap from our post on March 9, 2023:https://t.co/1f3zkgpPGP👉Price Target:
I’m reluctant to mention the top price target of the MEGAPHONE… https://t.co/pAlQu06cvh pic.twitter.com/YTQJyCTHwO— EGRAG CRYPTO (@egragcrypto) January 13, 2025
XRP Historical Price Movements and Current Rebound
EGRAG highlights the asset’s past price movements to understand the significance of the megaphone pattern. The first bottoming phase occurred in September 2014, when the token reached a floor price of $0.00058.
After this low, the cryptocurrency rebounded, reaching a peak of $0.0306 by December 2014. A subsequent correction led to a second bottom of $0.003 in January 2017, followed by another price rally, with XRP reaching an all-time high of $3.5 in January 2018. This represented the second major upswing.
Afterward, the token underwent a significant pullback, lasting for seven years. This correction ended in July 2024 when the price bottomed at $0.3899. With the current rebound, the analyst believes the digital asset is now experiencing the third upswing, which could push the cryptocurrency toward higher price levels.
Price Targets and Market Expectations
EGRAG’s latest analysis outlines three key price targets for XRP as it moves through this third upswing. Based on Fibonacci retracement levels, the first target is $8.15, corresponding to the Fib. 1.272 mark.
If the token surpasses this level, the next target would be $13.3, which aligns with Fibonacci’s 1.414 level. According to EGRAG, the final target is $27.05, corresponding to Fibonacci 1.618, representing a nearly 10-fold increase from its current price of $2.54.
EGRAG also notes that for the token to confirm the validity of this megaphone pattern, traders should monitor both price action and volume indicators. An increase in trading volume and consistently trading above key breakout points confirm that the pattern is unfolding as expected.
Although EGRAG previously suggested more ambitious targets in earlier analyses, he has opted not to set overly optimistic price projections this time. He emphasized that while the potential for significant price movement exists, especially given the recent rebound, he aims to avoid misleading new traders by overestimating potential gains.
In conclusion, while the megaphone pattern on XRP’s chart suggests the possibility of significant price increases, traders should carefully monitor the asset’s price movements and volume to confirm the trend. If the pattern holds, the token could be set for a major rally toward the $27 mark.
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.
