The SEC's formal appeal against Ripple caused a significant drop in XRP's price, falling more than 10%. However, renowned crypto analyst Egrag Crypto believes that XRP's bullish setup remains strong, maintaining a price target of $7.50 during this bull run.
Egrag emphasizes that XRP's pricing structure shows resilience despite external pressures like the SEC appeal, suggesting the price's recent downturn was anticipated by his analysis. Key to his optimism are the "Atlas Line" and "Genuine Wake-Up Line," two trend lines that have shaped XRP price patterns over the years.
The "Atlas Line" serves as a critical support line, while the "Genuine Wake-Up Line" indicates bullish potential when surpassed. Egrag advises that, from a macro perspective, as long as XRP maintains levels above $0.28, there's no substantial cause for concern, though extreme fluctuations to $0.43 could occur.
While acknowledging the regulatory challenge poses a "noise," Egrag assures the community that XRP is still not considered a security. He argues that regulatory turbulence provides opportunities to accumulate XRP and projects a significant price increase potential, expecting a rally over 1,300% to reach his $7.50 target.
Despite market reactions, Egrag challenges investors to consider the importance of technical indicators over short-term fluctuations driven by external factors. At the time of reporting, XRP's value stands at $0.5238.
