- XRP triggers a TD Sequential buy signal, suggesting the end of a downtrend and a potential price rebound.
- The TD Sequential indicator has shown strong accuracy, with a 65% success rate on XRP’s weekly chart since 2022.
- Key market catalysts, such as ETF launches and volume spikes, could amplify XRP’s potential for a bullish reversal.
XRP has recently flashed a buy signal from the TD Sequential indicator, signaling a potential end to its downtrend. The TD Sequential, a widely used technical tool, has been remarkably accurate on higher timeframes, particularly since 2022. With a well-established track record, the indicator suggests that XRP could be poised for a price rebound, as it marks the end of a prolonged downward trend.
The TD Sequential pattern on XRP’s 4-hour chart has recently triggered a classic buy signal, which often indicates the end of a downtrend. This setup occurs after nine consecutive candles close lower than the candles four periods earlier. Traders closely monitor this pattern, as it suggests that selling pressure may be subsiding, leading to a possible price reversal. Notably, this signal comes after XRP has been trading around $3 for several weeks with little upward movement, potentially setting the stage for an upside breakout.
Analysts Confirm Accuracy of TD Sequential
In support of this potential upside, analyst Ali Martinez has pointed out that XRP is now a “buy.” He highlighted that previous TD Sequential buy signals have proven to be highly accurate, especially when paired with strong catalysts. Notably, the AI platform Grok has noted the TD Sequential’s strong track record on longer-term charts, with the indicator’s buy signals accurately predicting major rallies 75% of the time on XRP’s 2-week chart since 2022. Furthermore, buy signals on the weekly chart have demonstrated a 65% success rate, outperforming random chance.
The accuracy of the TD Sequential buy signal is further supported by significant catalysts such as XRP’s inclusion in ETF launches and major Ripple announcements. Volume spikes and bullish news often drive the strongest rebounds. Wealth manager Nate Geraci predicts that upcoming ETF developments will drive substantial movement in XRP’s price. Recent approval of XRP-related ETFs and the SEC’s deadline for approving over 10 spot XRP ETFs have sparked renewed bullish sentiment in the market.
TD Sequential’s Historical Success Enhances Confidence
Notwithstanding the bright perspective, specialists recommend being careful. The TD Sequential indicator is not flawless, as it was revealed in mid-2023 when a similar buy indicator failed to work following regulatory uncertainty. In this regard, analysts suggest that the TD Sequential signal should be used together with other indicators like the MACD crossovers or bullish candlestick patterns to validate the bullish trend.
Since XRP has now given traders a new buy signal, it is being closely monitored by the traders whether the market will validate the positive target within the next few weeks. In case of a repetition of history, XRP might experience a high upward movement in the near future.
