In a recent analysis, renowned chartist and cryptocurrency analyst Jaydee revealed compelling data suggesting a potentially bullish scenario for XRP, the digital asset associated with Ripple Labs. Jaydee’s examination of historical charts and key indicators, including the MACD (Moving Average Convergence Divergence) and ADX/DI (Average Directional Index/Directional Indicators) crosses, has led him to predict a significant price rally for XRP in the coming years.
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#XRP – Monthly close tonight! On the MACRO (long term view), ADX/DI and MACD is looking to have that confirmed monthly close.
Last time after confirmation, $XRP 17x – 634x in price within a year!
RETWEET/LIKE for confirmed updates tonight or tomorrow minus all "narratives"🤦♂️! pic.twitter.com/trUU4TUuLf
— JD 🇵🇭 (@jaydee_757) July 31, 2023
The MACD is a trend-following momentum indicator that identifies potential changes in an asset’s trend, while the ADX measures the strength of the trend and its direction. Jaydee has identified a specific pattern in which the MACD line closes above the signal line on the monthly timeframe, and this pattern is supported by a cross in the ADX/DI indicator. A close above the zero level for the MACD confirms the bullish momentum.
XRP in the past
According to Jaydee’s analysis, previous instances of such confirmations have historically preceded massive price rallies for XRP. He cited two significant rallies in XRP’s history that occurred following similar patterns.
In the first instance, XRP faced an extensive four-year downtrend from December 2013 to February 2017. However, after the MACD and ADX/DI crosses in early 2017, XRP experienced an astonishing 63,400% surge to an all-time high of $3.3170 in January 2018, 306 days after the bullish crosses.
After reaching an all-time high, XRP entered another downtrend lasting until October 2020. Following the MACD and ADX/DI crosses again in October 2020, XRP underwent a significant reversal, surging 1,200% over 365 days and reaching a high of $1.9669 in April 2021.
Jaydee’s charts and analyses indicate that XRP is currently amidst another two-year downtrend, and the possibility of a breakout similar to those observed in 2017 and 2020 could lead to a potential high in 2024 or 2025.
#XRP – are we copying that move similar to 2017 before that next impulse move up?
Although short timeframes (daily) have lots of false signals, we can't deny similar structures compared to 2017..
Retweet/Like for more $XRP updates!
MAJORITY will get REKT AGAIN as always!… pic.twitter.com/JH3vqUXlWM
— JD 🇵🇭 (@jaydee_757) August 1, 2023
Despite pointing out similarities between the current market structure and the one before the 2017 impulse move-up, Jaydee has warned about false signals in short timeframes and urged caution in interpreting the data. He refrained from making specific price predictions but noted that if XRP replicates the magnitude of the 2017 rally, it could rally up to 63,400%, potentially soaring to $438.
In his updated chart, Jaydee suggested the possibility of a textbook retest of the current two-year trendline to establish it as a support level before any potential breakout occurs. However, he expressed uncertainty about the timing and outcome of such a move.
Based on historical data, Jaydee posited that it typically took about a year before XRP reached its all-time highs after breaking significant market structures, leading him to speculate that the next year could witness the re-emergence of all-time highs for XRP.
While the analysis offers promising insights, investors are advised to conduct thorough research and exercise caution in their decision-making, given the inherent volatility and risks associated with cryptocurrency investments.