XRP Price Ready for 33% Upswing Despite SEC Lawsuit Concerns
XRP Price confirmed a close above the Ichimoku Cloud before the Tuesday trading session ended. XRP bulls continued buying the dip and treating the Kijun-Sen as a support level. A clear breakout above this level has not been observed, but several signs point to its possibility.
XRP price action may not have reached an Ideal Bullish Ichimoku Breakout earlier this week, but the continued push from investors are pushing the price to higher closes. XRP is now inside the zones of resistance and support in the range of $0.77.
Since XRP price is seeing higher and higher support structures, many speculate that a significant breakout is close. The token has developed a bullish entry opportunity on its $0.02/3-box reversal Point and Figure Chart. This means that the theoretical long setup is for the XRP to have a buy to order at $0.82, a stop loss at $0.74, and a target profit at $1.06.
This trade represents a 3:1 reward for the risk setup and a projected target profit margin of 33% after it reaches the $0.82 mark. And to help protect the implied profit after it is triggered, a trailing stop of two to three boxes would be necessary.
However, there are still concerns about the XRP price. Despite being very close to the breakout level above the Ichimoku Cloud on the charts, the next five days will be more difficult because the Cloud could become thinner.
If the bulls do not get the momentum before Sunday, March 6 2022, the threshold the bears need to take control of XRP will be easier to reach. Unlike before, where bears need to close below $0.64, this scenario presents them with the opportunity to take control around the $0.74 mark.
To achieve the 33% breakout, bulls need to maintain the XRP price above $0.75 as they try to push for the $1.00 mark. Thus, a breakout above the Ichimoku Cloud before Sunday is important for the token.