- XRP MVRV ratio has triggered a rare “golden cross” signal, previously followed by 630% and 54% price rallies.
- With XRP currently trading above $3, a repeat of past patterns could push its price as high as $24.
- The recent resolution of the Ripple-SEC lawsuit adds further bullish momentum to XRP’s long-term outlook.
As sentiment improves in the XRP ecosystem, XRP price rose above $3 and has since held. Now, a key on-chain indicator has started flashing a signal that, in the past, has preceded massive, triple-digit XRP price rallies.
In a tweet, analyst Ali Martinez highlighted a bullish signal in XRP’s Market Value to Realized Value (MVRV) ratio. According to Martinez, the last two times this indicator flashed a “golden cross”—when the MVRV ratio moves above its 200-day moving average—XRP surged by 630% and 54%, respectively.
The MVRV ratio is a metric that gauges average holder profitability. It is often used to identify overbought or oversold conditions. A cross above the long-term moving average can mean renewed bullish momentum and improving market sentiment.
Past Patterns Suggest Possible Upside
In the first instance highlighted by Martinez, XRP experienced a meteoric 630% rally shortly after the MVRV golden cross. The second signal, while more modest, still preceded a notable 54% jump. The latest crossover, which occurred this week, marks the third such event in recent history.
While past performance does not guarantee future results, the recurring pattern fuels optimism that XRP could be on the verge of another significant move.
XRP Price If History Repeats
At press time, XRP is trading at $3.31, with a weekly gain of 11%. Should it follow the conservative model and surge by 54%, its price would rise to approximately $5.10.
Notably, XRP’s all-time high is $3.84, set back in 2018. Even the modest scenario would push XRP to a new peak, elevating its market cap to over $302 billion.
Meanwhile, a more dramatic outlook, mirroring the 630% surge, would send XRP’s price to around $24. This projection aligns with earlier forecasts by analyst EGRAG, who has maintained that XRP could reach between $10 and $27 during this cycle.
For context, such a surge would raise XRP’s market cap to $1.44 trillion, placing it above corporate giants like Tesla and Berkshire Hathaway, both of which have trillion-dollar valuations.
Major Boost to XRP’s Uptrend
A major factor now supporting the bullish outlook for XRP is the conclusion of the Ripple lawsuit. Ripple and the SEC have filed to end the legal battle by dismissing their appeals, concluding a nearly five-year-long journey of litigation.
Amid this resolution, optimism is high that XRP could reach a new all-time high for the first time in nearly eight years.
Related: Ripple vs. SEC Lawsuit Is Over; What’s the XRP Price Prediction Now?
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