XRP News Today: XRP Analyst Sees 500% Surge Potential With Inverted Hammer Pattern

Popular crypto analyst EGRAG CRYPTO has expressed a unique perspective on the price movement of XRP, advocating for the asset to remain below its 21-week exponential moving average (EMA) for the next four days. This stance, while initially counterintuitive, is rooted in a detailed technical analysis focusing on the inverted hammer candle formation.

The inverted hammer pattern, which EGRAG CRYPTO highlights, is a bullish reversal signal often seen at the bottom of a downtrend. The analyst points to a previous weekly candle from late 2024 that exhibited similar characteristics and preceded a remarkable 500% surge in XRP's value between November and January. By maintaining the current structure, EGRAG CRYPTO believes that XRP can strengthen its bullish momentum.

Currently, XRP is trading just above a key support level around the $1.85 to $2 region, with the 21 EMA acting as a resistance line. The analyst's chart shows XRP trading at $2.1456, slightly below this EMA. The goal is for the current weekly candle to close in an inverted hammer formation, which would further solidify the bullish structure.

EGRAG CRYPTO's strategy is not about immediate upward momentum but rather about achieving an ideal technical setup. The analyst has previously predicted surges of up to 1,000% from similar formations, indicating the potential of this bullish setup. The longer-term chart shows XRP breaking out from a multi-year triangle formation in late 2024 and consolidating within a higher range. As long as XRP stays above the critical support region and respects longer-term trend lines, it remains in a healthy position.

Looking ahead, EGRAG CRYPTO hints at potential upward movement in the near term, stating, “In July, we shall fly.” The analyst predicts that XRP will hit its cycle top by July 21. By allowing the current candle to complete in a specific way below the 21 EMA, EGRAG CRYPTO expects to confirm a structure that could precede a breakout or a strong bullish continuation. This approach underscores the analyst's focus on achieving a precise technical setup to maximize potential gains.