XRP, Ripple's cryptocurrency, is poised for potential growth as experts predict a rise to $11. Nonetheless, this prospect hinges on overcoming a short-term price correction. Although the long-term outlook is favorable, XRP is expected to undergo a price pullback before any significant rally can commence, with the critical resistance level positioned at $2.73.
Surpassing the $2.73 resistance mark is essential for XRP if it is to reach the anticipated $11 target. Failure to breach this level might result in the price dropping to a possible low of $2.05.
This volatile price range has investors intently monitoring XRP's movements to determine the likelihood of a rally versus a correction.
Technical analysis reveals that XRP is consolidating within a large bull pennant pattern. According to analysts applying the Elliott Wave Theory, XRP is currently in a corrective phase. Having completed a five-wave impulsive rally, it is now poised for an ABC correction pattern.
This correction typically follows a sustained rally, offering a pause before the next upward movement. Analysts forecast that this correction will conclude by mid-January 2024, presenting an advantageous buying opportunity before the next rally.
Despite the short-term correction risks, the prevailing sentiment around XRP remains bullish. A major contributing factor is the recent favorable resolution of Ripple's court case with the US Securities and Exchange Commission (SEC), which has significantly alleviated regulatory uncertainties surrounding XRP. The potential for more crypto-friendly policies from the government further fuels optimism, bolstering upward momentum.
While a short-term correction appears imminent, the long-term prospects for XRP remain strong. Once the expected correction concludes, it may present an excellent entry point for investors targeting the ensuing rally. The path to $11 is still open, and XRP's progress on this trajectory promises to be noteworthy. As always, traders and investors must stay alert to key resistance levels and market trends.
Currently, XRP is trading at $2.41, a slight 0.1% daily increase and a 15.4% weekly gain.