In an unpredictable market like cryptocurrencies finding patterns and taking hints from them can be detrimental to making gains or preventing losses.
In this article, we will look at one such pattern that analysts have discovered concerning the price of the XRP token.
We will discuss more about this in the coming sections.
What was the observation?
Dark defended, one of the most renowned cryptocurrency analysts and well-regarded experts in the field of cryptocurrency has posted an observation that they had made on the price of the XRP token.
The recent post that the group made on X detailed a pattern that they saw happening with the XRP token. Their observation pointed out the hypothesis that XRP might be set to mirror a similar pattern that it followed from 2014 to 2017. This reference was to the price surge that the coin experienced between 2014 and 2017.
From this, we can say that Dark Defender is anticipating yet another similar price surge for the coin shortly.
One crucial element to note concerning this prediction is to monitor a particular price market for the coin which they call the “Point of Control”.
This Point of control price as per Dark Defender is set at $0.3914 for the coin. This is noted to be the price at which most trades for the coin have happened since 2014.
The group said that maintaining this level will be vital to ensure the price boom of the coin.
As further elaboration to the post, the group has further expanded on this theory by predicting the price of the coin to reach $5.85 in the immediate future.
Similar sentiment was echoed by another crypto analyst called Milkybull Crypto who made a similar projection of the coin crossing the $4 mark.
Looking at all the price predictions made on the coin the market standing of the coin seems to encourage the sentiment by showing a decent Relative Strength Index (RSI) which denotes the XRP coin to be relatively undersold at this point in time.
What was the Market Response and Favorability for the prediction?
The market seems to have responded quite well to the predictions by Dark Defenders.
The XRP price prediction has largely been received in a positive manner even after they subsequently increased their price prediction from the previous figure of $5.85 to the new $18.22 for each coin.
The market expressed their satisfaction with the reasoning for their price prediction in which they specified the instruments that they used to make such an announcement.
Let us now look at what the group said was the reasoning behind making such a prediction.
What were their reasoning behind the prediction?
The Dark Defender group has explained that they made the prediction based on the fact that the coin has hit the crucial support level of $0.3917 along with the coin seemingly aligning well with the price point within the 5 Elliot Waves pattern.
Let us now look at aspects of the coin that investors should consider before buying the coin.
What should investors be worried about?
It is essential that readers also note that the price prediction seems to have come at a time when the XRP’s trading activity has been displaying minor downturns in the past few days.
This should be kept as a cautionary indicator because the whole bullish prediction might be compromised if the XRP token cannot maintain its price at the Point of Control in the coming days.
Another aspect to consider is the fact that nothing that has been predicted has a chance of happening unless it is favored by the variety of aspects that determine the price and demand of the coin.
It is therefore important that every investor must continue only under complete certainty and confidence if they want to invest in the XRP token.
Let us now summarise and make conclusions about the announcement and all that we have discussed in the previous section.
Final Thoughts
In conclusion, the given references should only be used as news and the details presented are only to help the buyer in easing their decision-making process and thus should not be taken as a guarantee of the bullish run of the coin.
Only time will tell if the recent predictions by Dark Defenders will become prophetic or if it will be just another stunt from them to generate short-term interest in the coin.
