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After a spectacular 2024, which saw the price of XRP rise from around $0.50 to as high as $2.90, the cryptocurrency is now in a bind, trading at $2.31 at the time of writing. However, the main pattern on the weekly chart suggests that XRP may be on the verge of another significant breakout.
The Half-Mast Flag Pattern Can Take Digital Heritage to New Heights
XRP, the fourth largest cryptocurrency with a total market value of 134 billion dollars at the time of writing, has an amazing outlook for 2024. The price of the digital asset has increased more than five times in less than two months, it follows victory in a landmark case against the US Securities and Exchange Commission (SEC).
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In a recent post shared on X, veteran trader and analyst Peter Brandt shared his thoughts on XRP’s future price trajectory. Brandt highlighted the formation of a ‘half-mast flag’ pattern during the weekly period, adding that the completion of the pattern could propel XRP to new highs. He commented:
Half-mast flags must be completed within six weeks, otherwise they should be viewed with great suspicion. This flag is in XRP it needs to shake and roll soon, otherwise it will turn into something else TBD. But if it does, then a $500 B market capitalization is possible.
For the uninitiated, a half-mast flag is a continuation pattern in trading where the price forms a sharp upward movement followed by a short, shallow flag-like consolidation, usually tilted against the prevailing trend.
When the price breaks out of the consolidation phase, it usually indicates a continuation of the rise, which may lead to higher prices. According to Brandt, a bullish completion of the pattern – a breakout – could push the total market cap of XRP to $500 billion.
If other cryptocurrencies remain pegged, a market cap of $500 billion would make XRP the second largest digital asset by market cap, surpassing Ethereum (ETH), which currently has a market cap of $416 billion.
However, it is important to note that in the case of a bearish completion of the half-mast flag pattern, the price of XRP may fall from the previous lows, possibly falling to a market peak of around $28 billion.
XRP Is Made For Big Profits
Meanwhile, crypto analyst Mikybull has revealed multiple price targets for XRP during the daily period, using Fibonacci extension bands. According to the analyst, the breakout of XRP is “imminent,” the target is up to $ 3.74.
Similarly, Egrag Crypto recently predicted that XRP may rise to $15 according to the Elliott Wave theory. In addition, on-chain data shows that XRP whales shopping all dip in anticipation of a big rally in the coming weeks.
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That said, concerns remain about XRP bulls’ not being able to to firmly break the $2.35 resistance level. At press time, XRP is trading at $2.31, down 4.5% in the last 24 hours.
Featured image from Pexels, charts from X and TradingView.com