Analysts predict XRP price rally to $4 on falling wedge pattern breakout.
On-chain data expert Santiment claimed XRP is flashing a promising buy signal. The highest level of retail FUD with more bearish comments than bullish in the last few days is a “buy-the-dip” sign. Meanwhile, analysts continued to maintain a price target of $4 due to strong technical chart patterns, while whales remained unfazed by ETF anticipation.
XRP Retail Sentiment Flags Promising Buy Signal: Santiment
XRP is witnessing the highest level of retail FUD since Donald Trump’s tariffs were announced months ago, Santiment reported on October 7. Lack of whale accumulation due to profit booking by Ripple co-founder Chris Larsen and the delay in spot ETF approval are the primary factors.
However, on-chain expert claims historical data suggests more bearish comments than bullish for XRP is generally a promising buy signal. Bearish comments on social media in 2 of the past 3 days have increased substantially.
Moreover, similar to their crucial role in the SEC vs Ripple lawsuit, the XRP army is preventing further price corrections. Whales and investors invested heavily at the $2.80 support level. Markets are now anticipating a move in the opposite direction to small trader expectations again.
Institutions are also investing more in altcoins like XRP and Solana, as evident from the latest Crypto Funds Inflow report by CoinShares on Monday. Ripple’s native coin saw a record $219 million in inflows, pushing total assets under management (AuM) to $3,266.
Analysts Predict $4 Price Target
XRP trades within a falling wedge pattern, with analysts suggesting a breakout could bring a structural shift in the crypto asset. Lark Davis said Ripple’s coin “keeps getting smashed down on attempts to break the descending resistance line.” A breakout will trigger a rally to $4.
If it fails a breakout again, traders must keep an eye on the 20-day EMA at $2.94. This could take XRP price back towards $2.90 and $2.80.
According to a price analysis, the approval of spot XRP ETF by the U.S. SEC could even set the stage for $5. The coin has formed numerous bullish chart patterns on the daily chart.
XRP price is trading at $2.96, down almost 1% in the past 24 hours after failing to hold the latest rebound. The 24-hour low and high were $2.95 and $3.05, respectively. Trading volume has increased by 31% in the last 24 hours, indicating interest among traders.
Derivatives markets showed mixed sentiment, per CoinGlass data. The total XRP futures open interest jumped 2% to $9.12 billion in the last 24 hours. Also, the 4-hour futures open interest on CME climbed 1.55% and dropped 0.45% on Binance and 0.52% on OKX.
