XRP’s Current Price Movement
Ripple’s XRP is experiencing a noteworthy rise, currently up by over four percent, and trading around the $2.40 mark. The chart patterns for XRP have remained relatively stable, suggesting that the cryptocurrency is in the advanced stages of a bullish trend. The pivotal question now is whether this is the breakout that will propel XRP to new all-time highs, or if it will revisit its previous peak near $3.30.
Key Support and Resistance Levels
There has been a noticeable reaction at the previous breakout point, which coincides with the high reached in 2021. The chart’s green line, marking this breakout point, was tested from above just yesterday. It is plausible that XRP is still progressing through wave three, with the potential for another peak before the market advances further.
Should the price dip below the green line, indicating a short-term weakness, a Fibonacci support zone exists between $1.5 and $1.7. Despite this, smaller-time frame support levels are crucial for understanding the short-term market dynamics.
Larger Time Frame Outlook
The broader outlook suggests that XRP is currently in the third wave of its cycle. This perspective remains valid unless the market undergoes significant changes. If this scenario unfolds as expected, the completion of wave four could lead to wave five, potentially driving the price into the $5 to $10 range.
Critical Support Levels to Watch
For the bullish trend to persist, XRP’s price should ideally remain above the $1.99 level, representing a 78.6% retracement from the recent rally. In a more optimistic scenario, the price should not fall below this mark. Additional support levels are identified between the $2.20 and $1.99 range, specifically at $2.14, $2.07, and $1.99. Maintaining these levels is crucial for the price to potentially push higher.
Although a pullback is not guaranteed, it is possible for waves A or one to establish another peak, resulting in a five-wave upward movement. If a pullback does occur, the critical support area is where buyers are expected to enter the market ideally.
