XRP Price Chart Signals ‘Conservative’ $38 Target— What’s Next?

• XRP price may hit a double-digit growth of $38 if a historical trend plays out.
• The recent rallies are proving unsustainable, with ongoing selloffs.

The price of XRP has since turned bullish following Ripple Labs’ victory against the US Securities and Exchange Commission (SEC). With the legal battle behind, analysts forecast a breakout for XRP to $38.

XRP Poised for More Rally

As we discussed earlier, the legal battle stood as a major hurdle that suppressed the price of XRP for years. Analysts now see Ripple Labs’ victory against the SEC as a key catalyst for growth. Besides the legal victory, long-term technical indicators suggest XRP is set for sustained gains, potentially reaching double-digit price levels.

In an X post, technical analyst Gert van Lagen pointed out a major bullish signal in XRP’s seven-year-long pattern. According to the analyst, this pattern points to a breakout with a target of $38. 

The analysis suggested that XRP has successfully bounced off the neckline of this 7-year-old Double Bottom / Ascending Triangle. Historically, this pattern precedes explosive rallies. Based on Lagen’s analysis, XRP formed a similar pattern between 2014 and 2017, which triggered a parabolic breakout that hit its technical target and doubled it. 

Image Source: Gert Van Lagen

XRP recently retested and confirmed the neckline as support after years of consolidation. This is often a strong signal that the next meteoric rise is on the horizon. And so, Largen thinks XRP will repeat this trend in the current cycle.

Using a measured move projection, Lagen estimates XRP could climb to at least $38. However, XRP could climb higher if history repeats. XRP doubled its projected target the last time it emerged from this setup. Hence, a $38 target is likely the start of a bigger rally. 

If XRP reaches a record high of $38, its market capitalization is estimated to hit 2.2 trillion, making it the most valuable digital asset. However, this projection depends on Bitcoin (BTC) stagnating over the same period. In a more conservative forecast, technical analysis suggests XRP hitting $30. 

XRP Price Analysis

At press time, XRP is trading at $2.437, down 3.67% in the last 24 hours. However, the price is up over 7% on the weekly chart.

Technical indicators show mixed signals. The 200-day Simple Moving Average (SMA) at $1.66 highlights a strong long-term uptrend. In contrast, the 50-day SMA of $2.45 sits below the current price, indicating short-term support.

Data shared by on-chain analyst Ali Martinez on Wednesday highlighted that XRP sentiment on social media is surging following its latest price rally. The heightened buzz suggests growing retail interest, often a sign that FOMO has set in. The analyst, however, warned that XRP’s latest surge may not last long.

Data from the crypto on-chain analysis platform Santiment further support this sentiment. According to the platform, no whale has bought the current pump. Rather, XRP’s Open Interest increased by $200 million, suggesting the rally is driven by leveraged trading rather than organic demand.

At the same time, XRP funding rates have also remained negative recently, as noted in our earlier post.