Investing.com – Despite the SEC lawsuit and a significant price recovery, renowned crypto trader Michaël van de Poppe still expects a lot this year.
Crypto investors have sent the XRP rate on a rollercoaster ride this year due to an ongoing lawsuit by the US Securities and Exchange Commission (SEC). In December 2020, the SEC filed a lawsuit against Ripple for offering US investors XRP tokens, which allegedly were unregistered securities. As a result, the price of the popular cryptocurrency plummeted to $ 0.17.
In the course of the general crypto rally at, & Co, it then recovered and reached its annual high of 1.88 US dollars in mid-April. But the joy lasted only a short time, because the Ripple went back down shortly afterwards. This time the cyber currency slipped down to $ 0.51. Once again, a period of stabilization set in, giving the XRP a gradual recovery to over $ 1.30.
Although there is still great uncertainty among XRP investors due to the SEC lawsuit, van de Poppe believes that the Ripple price is gradually gaining momentum, which is why he is speculating on a breakout to the upside.
Based on the current price level, the crypto trader expects a rally impulse of around 37 percent in the short term. In the medium term, however, a price increase in the three-digit percentage range is possible.
“You just have to look at the nice flip at $ 1.06. I have marked the area around $ 1 in red because this is a very good entry point. But already at $ 1.06 there is an important one and significant support. We will probably see further consolidation or a sideways movement before we see a new price breakout to the upside in XRP, “said the trader in a YouTube video.
Using the Fibonacci extensions, van de Poppe has set a price target for XRP of 1.85 US dollars, which is near the 2021 annual high of around 1.88 US dollars.
According to van de Poppe, an interesting development can also be seen in the. Accordingly, the ratio would be on the verge of a breakout, which should catapult the XRP / BTC from the current 0.000025 BTC or 1.25 US dollars by up to 140 percent.
“An entry would be in the range of 0.000022 BTC or 1.10 US dollars. The best thing to do is to place the stop a little below,” advises the expert. “We will very likely see a breakout that will kick off the next impulsive move towards 0.000038 BTC, or $ 1.90. After that, watch out for higher lows and higher highs.”
According to van de Poppe, the XRP is already forming higher lows. However, if the XRP / BTC succeeds in a spurt above the high at around 0.00038 BTC, the price also marks a higher high, which, according to the Dow theory, would confirm an upward trend. The probability that the ratio will then climb to 0.00006 BTC then increases significantly, according to Poppe. Converted, this would result in a price target of $ 3.00 for the. This results in a potential of more than 120 percent.
Note: This article does not constitute investment advice or a solicitation to buy or sell any asset. Nor does it purport to predict the development of the XRP price. It is only a subsequent comment on the XRP development, the Ripple investors about the latest crypto news and the technical starting position of the XRP / USD should inform.