Examining if XRP can rally by 500% from its current levels to hit a new ATH

• XRP hiked by 2.2% in 24 hours despite the larger market recording a decline
• Analyst believes XRP could surge by 500% to its all-time high, if it breaks a key chart pattern

With the global crypto market facing a gradual decline, XRP has been one of the few cryptocurrencies bucking the trend. Trading at $0.5384 at press time, XRP managed to record a 2.2% price hike in the last 24 hours, on the back of 2.7% weekly gains on the charts.

While many assets are struggling to regain momentum, XRP appears to be on the verge of an upward trajectory. In fact, some experts are now suggesting that a larger bullish run may be on the horizon soon. 

One such expert is popular crypto analyst Javon Marks who recently shared his bullish outlook on XRP. Marks highlighted a hidden bull divergence pattern on XRP’s chart, which, if broken, could lead to a significant price surge. 

Source: Javon Marks on X

He noted on X,

“XRP is still looking primed for a surge in price which can extend, in strength and value, beyond the comprehension capacities of many. All-Time Highs of $3.317 and a >500% climb to it could be fast approaching and still, only the start of a far greater uphill run.” 

Marks believes that XRP’s return to its previous all-time high will depend on its ability to break through this hidden bull divergence pattern, which could trigger an even larger rally.

XRP’s fundamentals and market indicators

While the technical outlook painted a positive picture for XRP, the asset’s fundamentals also seemed to support this bullish sentiment.

One important indicator is XRP’s Relative Strength Index (RSI). At the time of writing, it had a reading of 39, according to data from CryptoQuant. 

Source: CryptoQuant

For context, the RSI is used to gauge whether an asset is overbought or oversold. An RSI value of around 39 suggests that XRP is not in overbought territory, leaving room for potential upward movement.

Additionally, according to Coinglass, XRP’s Open Interest surged by 3.19%, hitting a press time valuation of $713.26 million. Here, Open Interest reflects the total number of outstanding derivative contracts. And, a hike in this metric often points to growing investor interest. 

Source: Coinglass

This surge was also highlighted by the asset’s Open Interest volume, which jumped by 87.98% to $1.33 billion.

The hike in both Open Interest and volume suggests that there is significant momentum building behind XRP, with more traders placing bets on the asset’s potential gains.