Ripple’s XRP has shown FAa slight upward reaction, responding to a micro support region defined between $2.24 and $2.21. While this price movement is positive, it does not appear impulsive. Nevertheless, XRP has been printing higher highs and higher lows since reacting to the support zone, signaling some bullish momentum.

Fibonacci Targets and Ideal Price Move

The current price action is part of an internal wave, and the ideal target for the C-wave of the D-wave is around $2.59. Although it’s uncertain whether the price will reach this level, this Fibonacci extension represents a reasonable milestone target. If this ABC structure plays out, we should see the price move towards this level before completing the larger wave pattern. Following this, an E-wave could set a higher low, paving the way for a potential breakout.

Possible Triangle Pattern and Confirmation Needed

The current price action could unfold into a triangle pattern, which is another potential scenario. If this is the case, the D-wave may eventually break out to the upside. However, to confirm this, the price must break above the previous A-wave high at $2.38-$2.39. If XRP fails to surpass this level, there is a possibility that the market is developing a different structure, such as the B-wave.

Bullish and Alternative Wave Counts

In the bullish triangle scenario, the pattern would involve waves A, B, C, D, and E, with no lower lows—just lower highs and higher lows before an upward move. Alternatively, in the blue wave count, we could be seeing a larger correction with a WX-Y structure, where the Y-wave could evolve into a triangle pattern. This scenario remains speculative at this stage, but it’s essential to consider as a potential market development.

Key Levels to Watch: Support and Invalidation Points

So far, support is holding strong. To invalidate the current bullish outlook, XRP would need to break below $2.24, followed by a drop below the swing low at $1.94, which occurred on December 20th. If these levels are breached, the blue wave count could become more likely, potentially leading to further downside and a move towards the Fibonacci target area between $1.80 and $1.39.

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Larger Time Frame: Long-Term Outlook

On the larger time frame, if XRP continues its sideways movement or forms a wave four correction as outlined earlier, the overall pattern still suggests at least one more high, and potentially two, before completing the current wave structure. The next key targets could be around $3.25 to $3.30, which is near the all-time high.

XRP’s price action hints at big moves ahead—don’t miss out! Read our long-term XRP price prediction and stay ahead of the market trends!

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