Macro technical analyst Chetan Gurjal recently published his macro cycle predictions for XRP, suggesting that the price could rise into double digits.
Gurjar published his analysis in a recent report on X. He highlighted the potential for XRP to cross the $12 mark based on Elliott Wave Theory (EWT) as the altcoin is set to enter the third macro wave.
Breakdown of wave 1 and wave 2
According to Gurjar, XRP’s price structure can be divided into a series of macro cycles, the first of which began with the 2014-2017 bull market.
During this period, XRP completed a shocking 5-wave rally, resulting in impressive price gains. For context, when this first macro cycle began in June 2014, XRP traded at $0.00403. However, by the time it ended in January 2018, XRP had soared to $3.31.
XRP 1W Chart |Chetan Gurjal
This first pattern, which he called “Wave 1” in his chart, represents an upward expansion in XRP’s value and sets the stage for the subsequent consolidation phase.
After completing wave 1 in January 2018, XRP entered a prolonged correction phase, forming a structure known as the ABCDE structure. This pattern began in 2018 and continued through multi-month and multi-year sideways trading as XRP fluctuated between support and resistance levels.
Gurjar labeled this expanded integration the “second wave” and took the form of a triangular pattern. Multiple market analysts have also identified this symmetrical triangle as typically a sign of market indecision and preparation for the next big price move.
XRP ready for third wave breakout
Gurjar suggests that XRP may now be in a position to enter a “third wave” on EWT, which is usually the most explosive part of a bullish cycle. This wave is characterized by strong upward momentum as market participants increasingly realize the potential of the asset.
Notably, at the time of the report, XRP appears to be trying to break out of the triangle pattern that marks the completion of the second wave. Gurjar predicts a potential price target for XRP of $12.75 based on the Fibonacci 1.618 level.
Meanwhile, in the short term, XRP continues to hover in the $0.53 region and is currently trading at $0.5338. XRP recently faced a major correction in early October following the SEC’s notice of appeal in the Ripple lawsuit.
However, at the time of writing, the price was stable, with a decline of only 1.45% in the past 24 hours. A decisive push will be needed in the short term for XRP to break out of the upper bound of the triangle and slip into the third wave. However, analysts believe that nothing significant will happen until Bitcoin (BTC) resumes its bullish trend.
Disclaimer: This content is informational and should not be considered financial advice. The views expressed in this article may include the personal opinions of the author and do not reflect the opinions of The Crypto Basic. We encourage our readers to conduct thorough research before making any investment decisions. Crypto Basic is not responsible for any financial losses.
