XRP price is expected towards $1.5 in the fourth quarter of 2021
XRP price seems to be enjoying the weekend as it has gained more than 0.17 points in market value. Although technical indicators point to an early correction, it could be short-lived as the network activity favors the bulls. XRP price has had a rally over the past two days, up nearly 16%, recently hitting a high of $1.23. At the time of writing, XRP is changing hands at $1.158, 13% increase in the last 24 hours.
XRP price has a good chance of hitting $1.5 after bouncing 30% in just ten days
A sudden bullish impulse could have been predicted as XRP approached the lower trendline of the ascending parallel channel, where its price has been holding since September 25 on the 4-hour chart.
Although technical indicators point to a brief correction before continuing the uptrend, activity on the network favors the bulls. Market participants appear to be re-entering the market, as shown by the recent spike in network growth. This on-chain metric looks at the number of new addresses created on the network each day to determine whether a project is gaining or losing traction.
Even after the XRP correction of 39.5% in early September, the steady increase in network growth shows that user adoption increased over time. Usually, when this metric expands over a long period, the price goes up.
Since network growth is generally considered one of the most accurate predictors of price, further uptrend continuation is inevitable.
A four-hour decisive bar closing above the channel’s upper trendline at $1.24 could invalidate the short-term bearish outlook. Under such unique circumstances, XRP can rise to as high as $1.30 or even $1.42. A further future, however, is the $1.5 mark.
According to Cointelegraph, XRP has a good chance of hitting $1.50 in the fourth quarter of 2021 after painting a bullish crossover between its 20-day and 50-day exponential moving averages (EMA).
“The so-called Golden Cross has appeared multiple times on XRP charts in history. Its last occurrence was on Aug. 10, which followed up with a circa 80% price rally later, with XRP topping out seasonally at $1.43 before pulling back to the downside”, Cointelegraph reported. “Similarly, a close of XRP’s 20-day EMA above 50-day EMA on Feb. 4 coincided with an approximately 400% price rally afterward. In doing so, XRP reached a year-to-date high of $1.98, further attesting that the latest Golden Cross could prompt a similar bullish response from traders.”
XRP/USD daily price chart featuring Golden Cross | Source: TradingView
The latest buy in the XRP market also comes after a recent SEC-Ripple lawsuit update, as AZCoin News reported. The ruling came on October 8, followed by a 17% increase in XRP price.
- XRP Price Demonstrated An Over 13% Rise As Its Price Has Surged To $1.22
- 83.5 Million XRP Transferred While XRP Price Stuck In $1 Zone