Introduction
Today we are going to dive deep and an analyze a chart posted by XRP community member @MrVH. Below is the entire chart & analysis itself, then we are doing look at how specific this gets in consideration of the original XRP triangulation breakout from early 2017, which led to over 60,000% in gains in just under 365 days. Many speculators have been analyzing XRP’s origin breakout and attempting to draw parallels with XRP’s second triangulation breakout over the last few years.
Why are Fibonacci retracements important?
“In technical analysis, Fibonacci retracement levels indicate key areas where a stock may reverse or stall. Common ratios include 23.6%, 38.2%, and 50%, among others. Usually, these will occur between a high point and a low point for a security, designed to predict the future direction of its price movement.”
First lets take look at the original XRP breakout from 2017
Marked as “1” is when XRP initially created its origin all time high price of $0.06 after hitting a bottom marked “0” at $0.0015
Triangulation breakout comes in late 2017 with a very minimal upside however the key is the down-trending accumulation phase which puts the price to a halt before the surge, which is perfectly bottomed out at Fibonacci retracement zone of “0.236”.
XRP bounces off of “0.236” —-> follows through with a surge to “1”—-> finds the pullback bottom at “0.786”—-> then price discovery breakout to exactly “1.618” which gave XRP a new all time high of $0.40.
Current XRP price is going something freakishly similar, the difference is that this time, with higher price and liquidity it repeats the origin triangulation breakout however it does so in an extended and “stretched out” manner.
Above is 2020 XRP which also followed a minimal breakout compared to previous all time high, and the down-trend accumulation which gets put to a halt at the “0.236” Fibonacci retrace zone.
If everything moves in accordance with history we have the same 4 step breakout that can occur, and an important note is XRP already created a resistance at the “0.786” to be conquered and flipped as a support to blast off to the “1.618” Fibonacci extension zone which would put XRP at nearly $30 per coin.
This is all theory and hearsay, and may never come to fruition, however one must not doubt that the 4 year cycle setups are eerily similar to one another 2013-2017 & 2018-2023.
The post The XRP Fibonacci Extension Says Next All Time High Should Reach $27 This Year appeared first on The XRP Daily.
