XRP has experienced a slight dip, declining by over 1% at the time of writing. However, analysts suggest that a bullish reversal could be on the horizon, particularly after the cryptocurrency managed to break above a previous high in its Relative Strength Index (RSI). According to Josh of Crypto World, this move may indicate the end of the prevailing bearish trend.
While the broader crypto market, including Bitcoin and Ethereum, has shown signs of recovery, XRP could be poised for a more significant move if these assets continue their upward momentum.
Key Price Levels for XRP
Currently, XRP is facing strong resistance between $2.45 and $2.46, a crucial zone within its downward-trending price channel. Despite recent attempts to breach this level, a confirmed breakout has yet to occur. Until a decisive move is seen above this resistance, short-term bearish pressure is expected to persist.
On the downside, XRP could find immediate support around $2.31 to $2.33. Further declines could see the asset testing support near $2.17, with the strongest buying interest likely to emerge between $2.05 and $2.10.
Elliott Wave Analysis: What’s Next for XRP?
A notable Elliott Wave pattern is visible on the XRP chart, particularly in the form of a triangle that formed after the 2017-2018 market peak. This pattern appears to have concluded with a breakout to the upside, initiating a fifth wave that has propelled XRP significantly higher.
The recent price action suggests a five-wave rally from the April 7 low, potentially marking the first wave of a new bullish cycle. XRP recently touched $2.46, aligning with projected levels. Analysts indicate that further upside toward $2.56 or even $2.68 is possible, but the rally may be at risk if prices drop below $2.26, potentially signaling the onset of a corrective wave.
Investors should keep a close eye on the $2.26 support level as a break below it could invalidate the bullish outlook. Conversely, a confirmed breakout above $2.46 could pave the way for further gains, especially if broader market conditions remain favorable.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
