Dark Defender, a market analyst, has recently conducted an analysis and identified a crucial resistance level that XRP must overcome in order to experience a significant rally. Dark Defender had established a long-term structure for XRP over a year ago, targeting three key price points at $1.88, $5.85, and $18.22. However, in order to reach these milestones, XRP must first break through a strong resistance point at $0.6649.
Examining Dark Defender’s chart, which depicts XRP’s price over a weekly timeframe, we can see that the altcoin has shown a strong bullish run leading to its first wave peak at $0.9327. Initially, the analyst had set an initial XRP target of $0.89, but due to a summary judgment ruling in the Ripple case, the price experienced a more significant push to $0.93 in July of last year.
Following this high, Dark Defender predicted a subsequent retracement, and XRP indeed faced a drop to $0.3814 in July of this year. Interestingly, this retracement almost perfectly touched the lowest Fibonacci retracement level at 23.6% ($0.3917). Despite the steep decline, Dark Defender believes that this is the lowest level XRP is likely to reach. The price action since last year has shown a narrowing range as XRP moves between key support levels at $0.4850 and $0.5286, with resistance at $0.6649.
These support and resistance levels are crucial in determining the next direction for XRP. Dark Defender emphasizes the importance of maintaining support above $0.48, particularly $0.3917, for XRP’s upward potential.
Despite recent consolidations and pullbacks, the long-term outlook for XRP remains bullish. While the weekly price chart currently signals a bearish signal with red, Dark Defender suspects that this could be a false signal, mainly because the monthly trend remains positive. This divergence between the weekly and monthly charts suggests that XRP could soon experience significant upward movements if it can break through the $0.6649 resistance.
Notably, the $0.6649 level aligns with the 70.20% Fibonacci line and has been a major point of contention. Dark Defender refers to this as the “final boss” as it has rejected XRP’s price several times. Breaking above this level could serve as a launchpad for massive price surges, with the next immediate target being $1.88.
The chart also depicts potential higher targets for XRP based on Elliott Wave theory, with price levels at $5.85 and $18.22. However, in order for these targets to be reached, XRP must hold key support levels and break through the resistance zones that have constrained its price.
There is some concern about the possibility of XRP dropping back to the $0.3917 support, which has already been tested. Dark Defender mentions the potential for a “double dip” around this area but considers it unlikely. The market analyst believes that as long as key support levels hold, XRP is more likely to continue its upward trajectory.
At the time of writing, XRP is currently trading at $0.5302, experiencing a drop of 2.37% over the last 24 hours.
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