- XRP trades at $2.45, with the Elliott Wave triangle suggesting a potential surge to $3 if resistance at $2.72 is breached.
- Key support lies at $2.27; a drop below $1.95 invalidates the bullish pattern, signaling bearish momentum.
- XRP’s price correction aligns with Elliott Wave, setting up for a fifth wave if upward momentum holds.
- XRP Price Rose 1,000% When Bitcoin Dominance Dropped 30% Last 2 Cycles
XRP is currently trading at $2.45, and is in an upward move within an Elliott Wave triangle pattern. Experts expect the cryptocurrency to hit $3 if it breaches the $2.72 mark. This structure correlates with the previous patterns of the upward movement which could mean that the fifth wave is unfolding. Nonetheless, if price fails to hold above $2.27 or drops below $1.95, this bullish view will be rendered incorrect.
The current Ripple price action keeps on indicating that the asset is still trading within the triangle pattern and is coming closer to the apex. A move above $2.72 could be decisive in terms of price discovery and may take the cryptocurrency towards $3.30.
Key Support and Resistance Levels Critical to XRP Path
The support for XRP is seen at $2.28 and $2.27 with the help of Fibonacci retracement levels that is indicating a bit of a relief zone. To sustain this bullish structure, experts note it is important to hold this zone. Any decline below $1.95, the low of December 20, will lead to further bearishness and a change in trend.
The levels of resistance are $2.55, $2.62, and $2.72. A push through $2.70 could be seen as more definitive and give a clearer signal that a bullish trend has started and that the price could push back towards the earlier highs. These levels are important because they can lead to a prolonged price rebound that investors are interested in.
Elliott Wave Triangle Suggests a Fifth Wave Formation
The price of XRP has been retracing against the $2.90 level it hit last month in line with the Elliott Wave triangle. The pattern is a three-wave correction with the first three waves up, followed by three waves down. This means that the fifth and last wave that will push the price higher is expected to come to the final higher low before it.
This outlook is also in line with the historical nature of price volatility of XRP price. Elliott wave patterns have repeatedly occurred in the market and have been inevitably succeeded by a price surge following similar corrections. Some levels cannot be violated in this pattern as analysts claim that once this pattern ends, there will be a breakout.
This outlook is also consistent with the historical trends in the price movements of XRP. Previous occurrences of the Elliott Wave patterns have always been followed by a rise in prices after similar corrections. Analysts believe that the end of this pattern may result in a breakout, given that certain levels are not breached.
Bitcoin Dominance Decline Boosts Ripple Rally
The price of XRP has also risen slightly by a marginal decrease in the Bitcoin dominance which is at the moment 56.93% down from 59.92% that was recorded on the 20th of December 2024. In the past, each time Bitcoin dominance drops, altcoins such as XRP gain value and go through a season of price appreciation.
In the last two market cycles, XRP had returns of more than 1000% when Bitcoin dominance fell by about 30%. The recent 5% decline in Bitcoin dominance shows there is potential for further advances if a similar pattern occurs. If the Bitcoin dominance drops even more, the analysts predict that XRP may go through a massive surge.
In addition, Ripple XRP has recently regained the interest of retail investors. In a recent report, Real Vision’s CEO, Raoul Pal pointed out XRP appeal. This is attributed to its low transaction fees and its association with Ripple, a leading international payment system. Despite setbacks such as a delisting of 90% of the tokens in 2020 and regulatory issues, it recorded a 475% surge in late 2024, demonstrating its stability and increasing institutional adoption.