Cryptoinsightuk predicts a potential explosive upside for XRP based on historical patterns of overbought conditions. This analysis comes amid rumors of a settlement meeting between the SEC and Ripple.
Points
- XRP has shown explosive upside historically when entering overbought territory.
- Relative Strength Index （RSI） values above 70 indicate overbought conditions.
- XRP price surged by more than 6% in the last 24 hours.
- Settlement rumors between the SEC and Ripple are driving market interest.
- XRP is forming its third consecutive green candle on the weekly chart.
According to pseudonymous chartist Cryptoinsightuk, the XRP token could be gearing up for another explosive price move. Historical data shows that the XRP token has experienced significant upside on five previous occasions when it entered overbought territory on the hourly chart. The Relative Strength Index （RSI）, a widely used momentum oscillator, is key to this prediction. RSI values above 70 typically indicate overbought conditions, suggesting a price rally could be imminent.
Currently trading at $0.61 on the Bitstamp exchange, XRP has surged by over 6% in the last 24 hours. Notably, XRP is also in the process of forming its third consecutive green candle on the weekly chart, a bullish signal for traders.
Market interest in XRP has been heightened by persistent rumors about a settlement-related meeting between the SEC and Ripple. Earlier this month, the token experienced a sharp rally due to these rumors, overshadowing the broader cryptocurrency market with high levels of FOMO （fear of missing out）. However, some gains were pared after the meeting was postponed, with a rescheduled date set for July 25.
Ripple CEO Brad Garlinghouse recently commented on the longstanding lawsuit between Ripple and the SEC, expressing optimism that it would be resolved “very soon.” Despite this, XRP remains one of the worst-performing coins, trading at the same level as in 2018. Investors are eagerly awaiting a catalyst, such as a settlement resolution, to inject new life into the token.