A top market analyst suggests XRP is in the final lap of price retracement before resuming another round of bullish push to unprecedented levels.
Specifically, CasiTrades shared this bias in her recent analytical breakdown of the current XRP price trend. She highlighted in her Thursday X post that the rejection from the $3 resistance has seen the token lose another major Fibonacci support level at $2.79.
For context, XRP experienced a sharp 6% drop on Thursday, falling from a high of $2.94 to close at $2.74. This was its largest single-day drop since August 19, mirroring a broader market decline.
Still No New Lows for XRP
However, CasiTrades emphasized that XRP has yet to make a new low despite its steep correction yesterday. Despite dropping to $2.72, XRP trades above its early September lows of $2.70, showing sheer strength even in the face of adversity.
Nonetheless, the bearish momentum is glaring as the relative strength index (RSI) shows intense selling pressure. The indicator has made lower lows with the price of XRP on the hourly chart, a move that negates CasiTrades’ expectations.
She noted that she anticipated a bullish divergence on the RSI to build the momentum for a price rebound. While this is forming on higher timeframes, lower timeframes still indicate bearish momentum, suggesting that the retracement trend may not be fully exhausted.
One Last XRP Dip? Here Are Levels to Watch
As a result, the experienced analyst believes that XRP may test lower prices in the near term. She noted that altcoins like Ethereum and Dogecoin have already reached their bottom targets, but XRP may require one last dip to exhaust selling pressure fully.
If prices retreat further, she predicts XRP to reach the bottom consolidation trendline at around $2.715. The 1-hour RSI has maintained a clear trendline while also displaying a bullish divergence, suggesting that a probable drop to $2.715 will confirm the exhaustion of selling pressure.
Meanwhile, CasiTrades identified the 0.50 Fibonacci level at $2.79 as a level that could turn the bearish tides around for XRP. She predicted that a daily close above the level would set the tone for a rally to higher prices. According to the analyst, the recent correction is not a weakness but rather a shakeout before a fresh market trend emerges.
Wave 3 Target for XRP
Upon the exhaustion of the consolidatory pressure, the analyst expects the third wave of a bullish price pattern to commence. Her chart shows the first target is to reclaim the 0.382 and 0.236 Fibonacci levels at $2.99 and $3.24, respectively.
However, an earlier analysis suggests that XRP could rise even higher. Notably, the Wave 3 is part of a larger 5-wave Elliot Wave structure, which targets new all-time highs of $4.50 and $5.40. This represents a 63% and 95.6% price uptick from the current market price of $2.76.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
