XRP slowly recovers hinting of a looming downturn.
Share
Key Takeaways
A symmetrical triangle signals a potential breakout or further decline.
A recovery to $0.60 is expected before more downside.
The final corrective drop to $0.44 may precede the bullish phase.
XRP experienced a strong rise from $0.38 to $0.66 in July, but a corrective symmetrical triangle has since formed.
The key question is whether a breakout will occur or further declines are ahead. A potential recovery to $0.60 is possible, but a final drop to $0.44 may complete the correction before a bullish phase begins.
XRP Price Analysis
XRP rose strongly from $0.38 on July 5 to $0.66 by July 31, forming a symmetrical triangle with lower highs and higher lows since then.
This pattern indicates a corrective phase, with two possible outcomes: a breakout above resistance or further decline.
If the correction ended at the Sept. 6 low of $0.50, a new impulse wave could form, potentially pushing the price above resistance.
Alternatively, the correction could continue, forming a complete ABCDE pattern before aiming for $0.80 or higher. A more substantial rally may target $1, but further confirmation is needed.
XRP attempted a breakout on Sept. 29, reaching $0.66 but quickly falling to $0.58. On Oct. 3, the price retraced to $0.50, raising doubts about the bullish scenario. But from there, it slowly recovered to $0.55, where it currently trades.
XRPUSD moving sideways | Credit: Nikola Lazic/TradingView
The breakout’s indecisiveness and the subsequent decline on Oct. 3 have shaken the assumption of the next starting uptrend.
What happens around $0.50 will provide further insight into XRP’s next major move.
XRP Price Prediction
The hourly chart suggests a possible bounce, followed by another decline. The initial impulsive move from July 5 to 17, reaching $0.64, was followed by a sharp drop to $0.43, indicating the start of a corrective ABC wave.
The recent failed breakout could signal a second ABC, with a third still possible.
XRPUSD slow recovery seen | Credit: Nikola Lazic/TradingView
The Oct. 3 low likely marks the end of wave A, with a B wave recovery expected before a final drop to around $0.44.
This would complete the correction, setting the stage for a potential bullish phase.
A short-term recovery to $0.60 may occur, but a further decline to $0.44 is expected before the correction concludes.
After XRP clears this pattern, a new rally could potentially start.
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
Nikola Lazic is a cryptocurrency analyst and investor working in the industry since 2017. He holds a bachelor's degree in Sociology, which enables him to better understand the psychology behind the crowd´s positioning. Consequently his preferred analytical tool is Elliott Wave Theory in combination with price action analysis.
Combining his experience in trading and investing with knowledge in content writing he strives to bring the most accurate and actionable information.
