Ripple is gearing up for an exciting development with the launch of RLUSD today, December 17. This event has the potential to significantly impact the price of XRP, which analysts believe is currently in the later stages of a cycle wave three on the daily chart. This wave has the potential to extend further, possibly propelling XRP to new all-time highs. Although the end of wave three has yet to be clearly defined, there’s a chance it could continue its upward trajectory before a correction occurs in wave four. The final move of this cycle could target a price range between $5 and $9.81.
As of the current market snapshot, XRP is trading just below the $2.50 level, experiencing a growth of more than two percent in the last 24 hours. This surge indicates a positive sentiment around XRP, driven largely by Ripple’s strategic developments and market dynamics.
Key Price Levels and Support Zones
Presently, XRP is navigating a critical price zone, situated between its 2021 high and its all-time high. This range is essential for assessing potential market movements. If XRP sustains its position above this zone, it may have a good chance of breaking through its historical peak, although such an outcome is not assured.
Micro Patterns and Short-Term Movement
Delving into the microstructure of XRP’s price action reveals intriguing patterns. There was a three-wave decline from the swing high observed on December 3, followed by a corresponding three-wave rise (wave B). Subsequently, a corrective wave C emerged, pushing the price downwards to retest the 2021 high, which successfully held as support. This behavior indicates a bullish outlook in the short term.
The breakout from the corrective price channel is a promising indicator, yet XRP has not yet made an impulsive move away from it. Typically, the first target following such a breakout is the starting point of the channel, approximately at the $2.90 level. This target is consistent with the usual length of wave C, which often mirrors that of wave A.
Watch Out for Potential Pullbacks
Investors should be cautious of potential pullbacks. If the price falls below the $2.33 level, followed by a further decline past $2.28, XRP could test lower support regions between $2 and $2.23. From this point, XRP might initiate another rally, providing opportunities for astute traders to capitalize on market fluctuations.
In summary, Ripple’s RLUSD launch today could act as a catalyst for XRP’s price movement. While the market shows signs of bullish momentum, traders should remain vigilant, monitoring key price levels and market trends to make informed trading decisions.
