XRP has broken out of a bull flag pattern, signaling potential upward momentum. Crypto analyst Ali Martinez predicts a target of $4.40.
XRP Price Eyes $4.40
On January 13, XRP rallied from $2.3374 to a high of $3.3509 by January 17. This sharp rise created the flagpole of the bull flag. Afterward, XRP entered a consolidation phase within a descending channel from January 17 to January 19.
The price briefly dipped below the 0.786 Fibonacci retracement level at $3.1021 before rebounding. On January 20, XRP broke above the channel’s upper boundary near $3.20, confirming the bull flag pattern.
What is a Bull Flag?
A bull flag has two parts: a sharp ascent (flagpole) and a gradual consolidation (flag). Breaking above the flag’s upper trendline signals a continuation of the prior uptrend.
The flagpole distance is $1.01, measured from $2.3374 to $3.3509. Adding this to the breakout level at $3.20 suggests a target near $4.20.
Fibonacci Extensions and Key Levels
Fibonacci extensions provide more precise targets. Anchored at $2.3374 (0%) and $3.3509 (1), key levels include:
- 1.272: $3.6958
- 1.414: $3.8889
- 1.618: $4.1863
- 1.786: $4.4475
The $4.40 target aligns with the 1.786 Fibonacci level, reinforcing its importance as a bullish objective.
Technical Analysis
XRP traded near $3.29, just below its local high of $3.3509. To reach $4.40, XRP must hold above $3.20 and surpass $3.3509. Maintaining volume is crucial for momentum.
The $4.40 target combines Fibonacci analysis with the bull flag’s projected move. Traders view it as a key level for continued gains.
Current Status
At press time, XRP fell back into the channel, trading at $3.06. Bulls must revalidate the breakout scenario to regain upward momentum.
This article is for informational purposes only. Always conduct your own research before making investment decisions.
