XRP exchanged laterally for most of the week, with little movement to suggest a major short -term change in trend. XRP approaches the end of a triangle model, which generally indicates that a decision point is close. The market must now decide which direction to take because XRP is currently blocked in the range of $ 3.08 to $ 3.14. The price is also down more than 2% on the weekly graph.
Elliott Wave analysis for XRP
Using Elliott Wave analysis, a popular method based on feelings to predict market movements, analysts anticipate higher prices for XRP in the near future. However, this does not guarantee that escape will be immediately up. There could be a small decline before an increase, but as long as all declines are of corrective nature (slow and riding movements), the longer term trend remains optimistic. These corrections should maintain above key support levels, in particular the level of $ 2.52.
Key support and resistance levels
The triangle model on the XRP graph ended on January 13, marking the end of the current consolidation phase. From the point of view of the Elliot wave, this could point out the start of a movement of five larger waves upwards. The level of critical support to be monitored is $ 2.52; A break below could report a change in the direction of the market, introducing more uncertainty. A decisive break below this support would suggest a deeper potential correction.
On the rise side, if XRP will successfully lose the resistance, the next target levels to watch are about $ 4.20 and finally the $ 5 bar. These levels of fibonacci extension will give us an indication of the price movement in the coming weeks.
With the formation of triangle close to completion, a break is expected soon, but it could take some time to materialize. The volume tends to be lower on weekends, it is therefore possible that the price can dance around the main levels of support until more decisive movements occur at the beginning of next week.
