Crypto analyst Dark Defender has recently conducted an in-depth XRP price analysis and believes the asset could hit an ATH of $18.
The trader used several indicators and chart patterns to gauge XRP’s next price target, concluding with three potential ones.
One of those patterns is the ABC Correction, which, in trading, can help traders signal temporary reversals or pullbacks in an asset’s price within a broader trend.
Hi all. We recently checked the #XRP daily frame & discussed the 5 Wave correction in the daily frame has ended.
The weekly time frame & #RSI are slightly underperforming compared to daily and have a Weekly Resistance to break.
The regular ABC corrective wave has also been… pic.twitter.com/IOUwTgiQrF
— Dark Defender (@DefendDark) February 8, 2024
XRP to Tap $18?
It consists of three waves: A, B, and C, each helping traders identify trend continuations and potential entry points during pullbacks. Applied to XRP’s chart, Dark Defender laid out the three waves as follows: wave 1 ending at $0.93; wave 2 at $0.43; and wave 3 expected to close at $1.88, $5.85, possibly towards $18.22.
The completion of the regular ABC corrective wave supports the possibility of upward movement, but the trader warned followers of a potential decline to $0.3917 if certain conditions aren’t met. While there’s a possibility, the analyst believes the chances are reduced if XRP stays above $0.52.
In a recent update, the analyst stated that XRP is on the road toward $1.88 after spotting a daily break for the indicators above.
Ripple Vs. SEC: SEC Scores a Small Win
The legal battle between Ripple and the SEC can considerably affect XRP’s market performance. Notably, the first wave discussed by Dark Defender coincided with Judge Analisa Torres’ ruling in July 2023, affirming XRP’s non-security status in most assertions, leading to a surge in value.
Wave 2 followed suit, witnessing a retracement of those gains as XRP experienced a decline to as low as $0.39.
In the latest development between Ripple vs. the SEC, a US judge ruled in favor of the agency and instructed Ripple Labs to disclose its financial records for the years 2022-2023. Ripple must also provide information concerning the proceeds from institutional sales of XRP as part of the process to assess the necessity and fairness of a potential injunction.
Ripple’s price has remained relatively stable at around $0.50 over the past week, prompting market observers to speculate about potential price swings in the near future.