Ripple XRP fell at 2.1603 after experiencing a significant rise, signaling the completion of wave (5) in the Elliott wave structure, with a peak near $2.90 on December 3, 2024. This bullish rally was followed by a strong breakout from the previous consolidation phase, supported by strong market momentum and high trading volume.
The rally succeeded in breaking through critical resistance levels, and continued the long-term uptrend. However, the recent peak is now showing signs of a corrective phase, with price action consolidating below recent highs.
The corrective structure appears to form a descending triangle, signaling the beginning of a possible ABC correction. XRP returned to the Fibonacci level of 0.382 near $2, a key area to watch for support.
Meanwhile, the Relative Strength Index (RSI) fell from the overbought zone, reflecting the cooling of bullish momentum and signaling a possible consolidation period.
If support holds at the Fibonacci level of 0.382, XRP could stabilize and prepare for a renewed push upwards, possibly targeting previous highs and Fibonacci extensions.
Conversely, a breakdown below $2 could open the door to a deeper correction to the 0.5 Fibonacci level at $1.70, or even show a sophisticated downtrend.
Price action over the next few days is likely to identify the short-term trend and indicate whether the correction is nearing completion or still has more ahead of it, we can see that XRP is currently undergoing a correction phase after completing wave (5) of the Elliott impulse wave structure, forming a descending triangle.
The price has now formed an ABC corrective pattern, with wave A pushing the price to $2.17, while wave B ended at a lower high of $2.63 on December 8.
XRP tests $2.00 support amid weak momentum and bearish fears
The XRP rally reached the $2.40 level, falling more than 10% to test the critical support level of $2.00. While broader market weakness plays a role, increased liquidations and profit-taking seem to accelerate the decline.
With traders awaiting the $2.00 level, the question looms: can XRP hold up or is there a further decline in the future?
XRP’s rise to $2.50 suddenly stopped at the $2.40 resistance level, leading to a sharp correction below $2.30. The daily RSI retreated from overbought levels, reaching 60.65 at the time of publication, indicating a waning bullish momentum.
Meanwhile, the OBV showed a decline from its peak, reflecting reduced buying pressure and fading market enthusiasm.
Despite a slight recovery above $2.20, XRP’s failure to regain the $2.30 level, combined with bearish momentum indicators, points to ongoing selling pressure.
Without a decisive push above $2.30, XRP may remain vulnerable to further losses, with $2.00 emerging as a crucial support level to watch.
The $2.00 level stands as pivotal support for XRP, both psychologically and technically. Historically, key round figures such as $2.00 act as magnets for traders, often serving as a strong ground or springboard for further declines.
A crucial drop below $2.00 could also trigger a series of liquidations as leveraged positions break up, amplifying selling pressure. With the RSI already in bearish territory and a price struggling below the main moving averages, holding $2.00 is crucial. If this support fails, it could ignite increased volatility and possibly hamper upward recovery efforts in the short term.
Does XRP get $100 in 2025?
XRP has long been lagging behind among cryptocurrencies, but things are finally starting to change for the better for this digital currency and the payment protocol created by Ripple Labs. Is XRP $100 on cards for 2025?
In fact, there are at least four different reasons to believe that the price of XRP could reach the $100 level that is being closely watched in 2025. Let’s explore each of these reasons individually.
1. XRP is set to exceed the surplus of the US Securities and Exchange Commission
XRP has failed to impress in recent years mainly because of its legal battle with the U.S. Securities and Exchange Commission. But this surplus is widely expected to be eliminated once Donald Trump takes office in January.
Positive for XRP. Why? Because Atkins may abandon the case against Ripple when he takes over from Gary Gensler in 2025, according to comments by Christopher Giancarlo – former commissioner of the Commodity Futures Trading Commission. If his forecast does come true, an XRP that has already exceeded its 50- and 200-day moving average could benefit greatly from the massive pent-up demand set to launch in 2025.
2. Trump 2.0 is a tremendous favorable wind for Ripple
The price of XRP could reach $100 next year also because Donald Trump pledged regulatory certainty and accommodative policies for the crypto landscape in 2025. His pro-cryptocurrency stance is important to Ripple Labs because it could help open doors to institutional investors who have been watching from the sidelines until now.
3. XRP could revolutionize global remittances
Ripple could prove to be a more profitable investment than its cryptocurrency counterparts in 2025, as its on-demand liquidity (ODL) service already settles international transactions.
