The latest breakout on XRP weekly chart has caught analysts, forecasting a possible surge to $2. Strong liquidation zones at $0.630 and $0.700 stand
Technical analysis of XRP on the weekly timeframe reveals a bullish breakout, signaling the conclusion of the accumulation phase and the beginning of a substantial upward trend. According to Clifton, XRP's next target price could reach as high as $2.
This breakout is evident on the chart as the price crosses a resistance line following an extended period of consolidation along a horizontal support line. Such a pattern typically indicates the start of an uptrend, especially when confirmed on the weekly timeframe, which is crucial for technical analysis as it depicts long-term price movements.
With the breakout now confirmed, the anticipation builds for the next phase, as XRP's price is expected to soar towards the $2 mark, presenting a highly favorable opportunity for investors. The use of the phrase "massive bullish rally" emphasizes the belief that this breakout will propel the token to reach higher price points.
The Liquidation Map reveals the leverage levels for both long and short positions as XRP trades at $0.692. On the left side of the chart, we can observe clusters of long liquidations. If the token price were to dip below $0.630 at any given moment, a move back up in price would trigger forced selling.
This would occur due to the lack of liquidity at lower levels. Many longs place their stop losses in this range, making it a crucial support zone.
However, as we approach the $0.700 levels and XRP begins to break above $0.700, short liquidations contribute to the momentum. If the token manages to settle above the $0.700 level, thus strengthening the upper range, it increases the likelihood of a second short squeeze, building tension that ultimately drives up XRP's price.
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