It’s no secret that many XRP investors have been feeling a sense of angst and resentment towards the embattled cryptocurrency in recent times, as a slew of controversy surrounding the token’s close ties to fintech company Ripple and negative price action made it one of the worst performers in the markets last year.
This negative price action may soon draw to a close, however, as the cryptocurrency’s massive rally today has led some analysts to believe that it could be poised for significantly further upside in the near-term.
XRP Leads the Markets as it Surges 12%, and It May Just Be Getting Started
At the time of writing, XRP is trading up over 12% at its current price of $0.22, which marks a massive climb from its intraday lows of $0.195, and an even larger climb from its multi-day lows of $0.18 that were set when Bitcoin and the aggregated crypto markets fell prey to a massive influx of selling pressure.
Today’s rally is one of the first that the cryptocurrency has seen in several months, as its price action throughout all of 2019 greatly favored sellers, and this may point to the possibility that the crypto is seeing the early stages of a bull-favoring trend reversal.
Big Cheds, a popular cryptocurrency analyst on Twitter, spoke about this latest movement in a recent tweet, telling his followers that it was the result of a Bollinger Bands pinch.
“$XRP #Ripple – bulls strike first off this BB pinch,” he explained while pointing to the chart seen below.
— Big Cheds (@BigCheds) January 6, 2020
The conditions in the aggregated crypto market may be further perpetuating this rally, as it does appear that bulls are gaining a significant edge over bears, with Bitcoin and most other digital assets currently pushing up against key resistance levels.
As for where this momentum may lead XRP next, DonAlt, another popular crypto analyst and trader, noted in a recent tweet that the crypto could see significantly further momentum, pointing to a chart showing a potential target of $0.50, which would mark a roughly 140% rally from its current prices.
“$XRP Finally hit my long term target, I bought (& posted about it) a few days ago but want to start a solo thread for it. Long term support with XRP haters gloating at all-time high is good enough place for me to gamble on a swing long position,” he explained.
Finally hit my long term target, I bought (& posted about it) a few days ago but want to start a solo thread for it.
Long term support with XRP haters gloating at all-time high is good enough place for me to gamble on a swing long position. pic.twitter.com/5hCqQfKSZ7
— DonAlt (@CryptoDonAlt) January 6, 2020
Whether or not this rally becomes something more than just a relief pump still remains to be seen, but bulls do have some work ahead of them if they want XRP’s recent lows to mark a long-term bottom for the crypto.