While XRP retests a crucial support area, some analysts have suggested that the altcoin is preparing for a massive expansion in the coming months, as a potential trend reversal begins to form and its 2017 formula repeats.<\/p>\n
On Friday, XRP reached a 12-day low, falling to the $2.02 area before bouncing. Notably, the cryptocurrency has been trading within the $2.05-$2.35 area for nearly two weeks, moving between the mid and lower zones of this price range for most of this period.<\/p>\n
Amid its recent performance, Sjuul from AltCryptoGems noted<\/a> that the altcoin \u201cis starting to look better, especially after that bullish market structure break with a fresh higher high.\u201d The analyst highlighted that the cryptocurrency has been consistently trending lower since August, exclusively printing lower lows and lower highs.<\/p>\n However, it has broken out of this structure and recorded a higher high for the first time in months after the start-of-the-year rally, setting the stage for a potential reversal. \u201cNow, we have to maintain this bullish structure at any cost and form a higher low on the next dip,\u201d Sjuul warned.<\/p>\n Meanwhile, market observer ChartNerd pointed<\/a> to a striking similarity between XRP\u2019s 2017 playbook and its current performance. In an X post, the analyst affirmed that the altcoin is repeating its 2016-2017 formula, which led to a massive rally toward its previous all-time high (ATH).<\/p>\n At the time, XRP saw a textbook multi-year symmetrical triangle formation breakout, followed by a multi-month ABC consolidation before its 1,500% mark-up. This time, the cryptocurrency has repeated a similar symmetrical triangle pattern breakout, and it is currently in Wave C of its ABC consolidation period.<\/p>\n To the analyst, a deeper Wave C retracement is possible if the multi-month $1.80 support<\/a> is lost. Nonetheless, he added that \u201ccycle formula repetition signals XRP is gearing up for expansion towards $8\/$13\/$27,\u201d which would be a 300%-1,250% increase from the current levels.<\/p>\n Despite his bullish forecast, ChartNerd also shared an important warning<\/a> for the next two months. According to the analyst, \u201cXRP has just over 2 months to invalidate this 3M bearish Heikin-Ashi candle formation,\u201d or it will risk a massive correction.<\/p>\nQ1 Close To Define XRP\u2019s Future<\/h2>\n