Mr. Xoom, a notable market analyst, believes the ongoing XRP pullback culminates in the completion of Elliott Wave 4.
He mentioned this in a recent analysis amid the persistent market collapse. It bears mentioning that the broader crypto market has been in a bearish phase for most of December despite occasional recovery efforts.
XRP is one of the victims of this turbulence, unable to transcend the $2 price level since recovering it on Dec. 1 for the first time in seven years. It suffered a pullback after reaching a peak of $2.9 on Dec. 3 and has consolidated since then.
XRP About to Complete Wave 4
In his recent disclosure, Mr. Xoom says this ongoing bearish consolidation represents the fourth wave of an extensive Elliott Wave structure.
For context, his chart shows that XRP completed Wave 1 in September 2024 and traded within Wave 2 from September to November 2024. Meanwhile, the bullish Wave 3 began in early November following Donald Trump’s victory in the U.S. presidential election. This Wave 3 ended with XRP’s run to $2.9 in early December.
As the pullback and consolidation ensued, Wave 4 took form. Mr. Xoom believes XRP is about to complete this current wave amid a price drop to the $2.14 region. Once the Wave 4 concludes, the next wave would be a bullish one, which the bulls could leverage to recover the losses from Wave 4.
Data from the chart also highlights a descending channel as XRP followed the trajectory of Wave 4. With Wave 4 on the verge of completion, XRP appears to be at the apex of the channel. The start of Wave 5 could trigger a rally that would allow the asset to breach the upper trendline of the channel.
Wave 5 Could Push XRP Price to $5
Mr. Xoom expects this Wave 5-based rally to push prices to $5, representing a new all-time high and a 133% increase from the current price. However, he insists that this $5 is conservative. Earlier this month, market commentator Vincent Van Code predicted XRP to claim this $5 by February 2025.
The current market condition places XRP in a position to record higher gains once the broader market recovers. XRP currently changes hands at $2.14, but its CCI stands at -116.40, indicating possible oversold conditions. The last time XRP’s CCI stood at -100 was in early November, when it traded at $0.51.
XRP 1D Chart
The current CCI value suggests XRP still has room for more growth, and a 133% increase is a rather feasible goal. However, to overcome the current bearish state, XRP must first breach the 20-day SMA at $2.31 and subsequently push above the upper Bollinger Band ($2.54).
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