XRP’s price is currently consolidating within a Wave 4 triangle pattern, with bulls targeting a breakout above the key $3.05 resistance level. Technical analysts are closely watching this crucial level, as a successful breakout could propel XRP toward a price target of $3.57, aligning with the 1.0 Fibonacci extension and the upper trendline of the triangle.
The consolidation pattern suggests that the cryptocurrency is in a period of price compression, which typically precedes significant price movements. XRP’s price has found support around $2.565, and a decisive move above $3.05 could trigger a surge toward higher levels, potentially testing the $3.57 resistance.
However, a pullback is expected after the breakout. Analysts anticipate a Wave 2 retracement to a price range of $2.40–$2.50, depending on the strength of the breakout. This retracement is seen as a normal part of the Elliott Wave Theory and could present a re-entry opportunity for investors before the next upward move.
Supporting the bullish sentiment, on-chain data indicates that whales have accumulated nearly 1 billion XRP in the past 24 hours, signaling confidence in the token’s future price appreciation. This large accumulation occurred after a price dip, suggesting that institutional and high-net-worth investors are positioning for future gains.
If the whales continue to accumulate XRP, it could provide additional support for a potential breakout above the $3 level, with the altcoin’s price trajectory continuing to capture the attention of investors.
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