An experienced crypto analyst has pointed out that XRP, a cryptocurrency focused on payments, may be on the verge of a significant breakout as it forms a bullish technical pattern.
Ali Martinez, who has a substantial following on social media, highlighted that XRP is currently trading within a large bull pennant. This pattern typically indicates a period of consolidation followed by a potential breakout to the upside.
According to Martinez, XRP is consolidating within the pennant of a massive bull pennant pattern, with a key resistance level at $2.73. He suggests that there could be a temporary pullback to $2.05 before a potential breakout that could see XRP reaching $11.
Using Fibonacci extensions, Martinez predicts a potential drop to $2.05 before XRP embarks on a remarkable 436% rally towards his upside target.
As of the current writing, XRP is trading at $2.42.
Turning his attention to Bitcoin, Martinez expresses cautious optimism due to the possibility of BTC forming a head-and-shoulders structure, which is a bearish technical pattern that could lead to a price breakdown.
Based on Martinez’s analysis, Bitcoin could potentially drop below $80,000 if the bearish pattern comes to fruition.
Currently, Bitcoin is trading at $98,536, showing sideways movement for the week and a 9% decline from its all-time high.
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