XRP Price Reaches Prior High as Bullish Momentum Builds Toward $2

Key Takeaways

• Confirmed breakout signals bullish macro momentum shift.
• Wave (iii) is in progress, with a potential correction ahead.
• RSI overbought, watch $1.30–$1.27 for support.

XRP has recently broken out of a long-term descending triangle, signaling a major shift in market sentiment. This move, supported by strong trading volume, has pushed the price above key resistance levels and reignited bullish momentum.

However, XRP revisited its prior high today of $1.63 after it made a 22% decline.

The question remains: will this rally end in a double top, or can the price break higher to form a new high?

XRP Price Analysis

The XRP daily chart shows a decisive breakout from a long-term descending triangle, which has been developing since the 2021 peak.

This breakout, supported by strong volume, signals a shift in sentiment and confirms the start of a bullish trend. The price has surged past the critical resistance at $1, corresponding to the 0.236 Fibonacci retracement level.

Once a formidable barrier, this area is a strong support zone as XRP builds momentum for higher targets.

The current wave structure aligns with Elliott Wave theory, suggesting XRP is in the third wave (iii) of a larger impulsive sequence.

The third wave is historically the strongest, marked by rapid price acceleration, as observed in this case. XRP is currently testing the 0.382 Fibonacci retracement level near $1.61.

A clear break above this level could pave the way for further advances toward $2.20, the 0.5 Fibonacci retracement level, and possibly beyond.

However, the Relative Strength Index (RSI) is overbought territory, indicating that a short-term correction or consolidation is likely while bullish momentum remains strong.

From a broader perspective, the breakout above the descending trendline is particularly significant. This trendline has acted as a resistance since 2018, and its breach suggests a reversal of the long-term bearish cycle into a sustained bullish phase.

While immediate momentum favors the bulls, caution is warranted as wave (iii) nears its peak. A corrective wave (iv) may follow, potentially retracing to key support zones like $1.01, before the final wave (v) pushes the price higher.

Key Observations

• Breakout Confirmation: XRP has successfully broken out of a long-term descending triangle, a pivotal development indicating a major shift from a bearish to a bullish macro trend.
• Elliott Wave Progression: The asset is currently in wave (iii) of a larger impulsive sequence, typically the strongest wave, signaling a parabolic advance. A corrective wave (iv) may occur before a final push higher.
• Overbought Conditions: RSI is heavily overbought, signaling potential short-term consolidation or a pullback to reset momentum. This presents an opportunity to monitor for re-entry around strong support levels like $1.01.

XRP Price Prediction 

The hourly chart shows detailed wave progression, indicating a potential completion of a corrective structure.

The asset has followed a textbook Elliott Wave pattern, with a clear impulsive sequence from wave (i) through wave (v). The post-wave (v) movement appears to form an ABC correction, with wave C nearing completion at a prior high of $1.63.

The formation of sub-waves within wave C suggests that XRP is either completing its correction or setting up for a deeper retracement.

If this resistance holds, we could see a corrective move targeting the $1.30–$1.27 support range. This represents the ABC retracement’s lower boundary. Alternatively, a breakout above $1.63 would invalidate the corrective scenario, potentially leading to a new impulsive sequence.

This structure is also supported by a prior triangle breakout during wave (iv), followed by a strong impulsive wave (v).

Current consolidation within the ABC framework suggests that market participants are recalibrating positions, awaiting either confirmation of a deeper pullback or a continuation of the bullish trend. A move below $1.27 would signal further downside, while a sustained movement above $1.63 could trigger a new rally.

Key Levels to Watch

Resistance at $1.63: This level represents the upper boundary of the current ABC corrective structure. A breakout above this level could invalidate the correction and confirm the continuation of the bullish trend.

Support at $1.30–$1.27 is the target zone for a potential wave C retracement. It aligns with key structural support from the prior impulsive move and could act as a bounce point for renewed upward momentum.

Critical Support at $1: A deeper correction would bring the price down to $1.01, which served as the breakout zone in the larger time frame. This level would represent a major pivot for long-term bulls.

About the Author

Nikola Lazic

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. Expertise: Cryptocurrencies, Technical analysis, Elliott Wave Theory, On-chain metrics, Research reports.

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