XRP Surges 20%: Bullish Cup and Handle Pattern Points to 18% Upside

XRP, the native cryptocurrency of Ripple Labs, has demonstrated a remarkable recovery of over 20% in recent days, reaching a critical resistance level. The altcoin's historical price pattern and ongoing consolidation in the four-hour time frame suggest that it is poised for significant upside momentum in the near future.

Technical analysis indicates that XRP is forming a bullish cup and handle pattern on the four-hour chart, with resistance at the neckline of the pattern. If XRP breaks through this resistance level and closes a four-hour candle above $2.82, there is a strong possibility that it could surge by 18% to reach $3.30 in the coming days.

At the time of writing, XRP is trading above the 200-day Exponential Moving Average (EMA) on the four-hour chart, indicating an uptrend. This is a key signal that many investors and traders look for before entering the asset.

On-chain metrics reveal that exchanges have witnessed an outflow of a significant $28.60 million worth of XRP tokens in the past 24 hours. This potential accumulation could create buying pressure and drive further upside momentum for the cryptocurrency.

Currently, XRP is trading near $2.75 and has experienced a modest price surge of 0.50% in the past 24 hours. However, during the same period, its trading volume dropped by 33%, indicating lower participation and increased caution compared to the previous day.