The price of XRP has increased by around 6% over the past three days, sparking renewed optimism among investors and analysts. Both analysts Dark Defender and Egrag see the current trend as a turning point.
XRP Price Correction Complete?
Dark Defender has Underlines a key development in the 4-hour time frame, observing the end of a corrective structure and identifying that XRP has reached an oversold zone. “We can first expect a move towards $0.6649,” Dark Defender said, referring to Fibonacci retracement levels and a 5-wave Elliott structure that remains intact, suggesting upside potential. .
This is supported by the chart which shows that XRP managed to close above a critical level at $0.6131, which corresponds to the rules of Elliott Wave Theory for wave structures. The analyst further highlighted that the price target of $0.87 to $1.05 is still achievable in the near term if the weekly closes sustain above the $0.6131 threshold.
Egra’s analysis concentrates on the Gaussian channel and a symmetrical triangle pattern (in the 5-day chart), which indicate market consolidation leading to a potential breakout. According to Egrag, “XRP Gaussian Channel and Symmetric Triangle (Strong Support and Resistance Patterns) Unveiled: Under the Gaussian Channel, the alignment of support and resistance price targets mirrors other charts, adding weight to their importance. »
The chart provided by Egrag indicates “robust support” at $0.50, with additional support levels between $0.54 and $0.55 (“support range”) and $0.60 (“support threshold”). “). Resistance levels are identified by Egrag at a macro resistance point and a symmetrical triangular trendline between $0.83 and $0.85. Egrag advises the XRP community to stand firm, saying: “The »
Combining these technical analyses, it is clear that both analysts identify a convergence of technical indicators suggesting a bullish reversal for XRP. Dark Defender’s chart analysis, which emphasizes the continuation of the Elliott wave, and Egrag’s identification of Gaussian channel patterns, both indicate a potential increase in price, provided it remains above certain support levels.
Price Analysis: 1-day chart
Analysis of the XRP 1-day chart using the Fibonacci retracement level shows that the price is facing strong resistance in the near term.
At the current price of $0.6194, XRP is just below the Fibonacci retracement level of $0.382 at $0.627 and below the 20-day exponential moving average (EMA) at $0.625. The confluence of these two indicators represents significant resistance in the short term. Remarkably, XRP received significant support at the 50-day EMA at $0.591, which could allow the bulls to regain the upper hand.
However, for this to happen, the resistance at $0.625 must be broken. The next price targets could then be the 0.5 Fibonacci retracement level at $0.688 and the Fibonacci retracement level from 0.618 to $0.759, which abruptly stopped the upward movement started in early October and ushered in the current consolidation .
Featured image from Shutterstock, chart from TradingView.com