Top Analyst Unveils 4 Stages of XRP Price Action, Predicts Massive Pump by Summer

TradingView analyst MoralDisciple reveals four market stages that XRP price typically follows, projecting a massive pump by summer.

According to MoralDisciple, the current market presents a unique opportunity. For context, prices have been consolidating amid Bitcoin’s (BTC) inability to break and hold above $70,000. He notes that altcoins are particularly undervalued compared to Bitcoin, suggesting a strategic window for investors to capitalize on this disparity.

For context, XRP has continued to collapse against Bitcoin since August 2023, dropping by 67.53% over the past nine months as detailed in the chart below. XRP has recorded nine consecutive months of decline against BTC since then, as it drops to 0.00000778 BTC. 

As a result, the monthly RSI on the XRP/BTC chart has slipped into oversold territories at 37. Market analysts have noted this trend, stressing that XRP is on the verge of an impressive trend reversal against the price of Bitcoin. MoralDisciple also expects this reversal, asserting that XRP has entered a phase featured by price uptrend.

The Four Stages of an Altcoin Bull Market

In his analysis, MoralDisciple identified four critical phases in the progression of an altcoin bull market. These phases are accumulation, first leg up, chop and up only. His presentation aimed to inform market participants of the dynamics of a typical market cycle. 

The accumulation phase occurs after a prolonged bear market, where prices stabilize and consolidate. During this period, the downtrend is broken, setting the stage for potential upward movement. Investors who enter during this phase can position themselves advantageously for future gains.

In the first leg up stage, prices begin to rise noticeably. However, many retail investors remain cautious, often failing to recognize the shift in trend. This phase marks the early signs of a bull market, but it typically doesn’t attract widespread attention from less experienced traders.

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Following the initial surge in the first leg up phase, the market enters a choppy, sideways movement phase. This period, also known as re-accumulation, usually follows significant events like Bitcoin halving. 

This choppy phase is typically characterized by price fluctuations within a narrow range, which can test the patience of investors. However, those who hold their positions can benefit from the forthcoming uptrend.

The up only phase, which is the final and most lucrative phase, sees prices climbing rapidly, with Bitcoin, altcoins, and even meme coins experiencing parabolic growth. This stage draws substantial media attention, attracting new investors and driving prices to new all-time highs. 

However, early investors and smart money traders start to exit the market, capitalizing on the peak prices, while latecomers often fall prey to the illusion of a perpetual rally.

Current XRP Market Position

MoralDisciple asserts that the market is currently in the third phase—Chop. He anticipates that the market will soon transition into the Up Only phase, where substantial profits can be realized. According to him, this shift is expected to happen swiftly, with a notable pump in XRP’s price by late June, potentially heralding a larger upward movement.

He advises investors to be strategic and patient, avoiding the common pitfall of chasing after short-term price swings. Currently, XRP trades for $0.5311, down 0.32% today. MoralDisciple chose not to set any price target, but several other analysts have made projections to prices such as $8 and $13.