Technical analysis of XRP price has revealed the creation of corrective waves in light of the recent correction since December 3rd. Specifically, cryptocurrencies are now trading between. Important Fibonacci levels Which may be fine for a while. With the help of these Fibonacci levels, crypto analyst Dark Defender shared insights on social media platform X, mainly highlighting the $2.13 and $2.92 price ranges for the XRP price.
XRP tests Fibonacci levels amid market correction
According to the XRP chart below, Which was highlighted earlier On social media platform X by crypto analyst Dark Defender, the XRP price rally earlier in the month saw it peak near $2.92 on crypto exchange Binance, which was also linked to the 261.80% Fibonacci retracement level. This impressive high, however, was short-lived as the token suffered a correction that brought its price down to the $2.17 support. Notably, this support is also above the 161.80% Fibonacci retracement level at $2.13, which is an important point for the XRP price going forward.
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With that in mind, Dark Defender notes that both $2.92 and $2.17 are the most important price levels to watch right now. The rebound from $2.17 suggests that Improvements can be downHis analysis points to a reversal in Wave B on the daily time frame.
What to Expect During Wave B
Speaking of Wave B, this analysis is based on a three-corrective-wave pattern. This pattern, consisting of three distinct phases, Waves A, B, and C, has appeared repeatedly during XRP’s price rally. Within this structure, waves A and C represent a downtrend, while wave B represents an uptrend. If this corrective model were to repeat itself, the XRP price could Experience climbing up to $2.92, According to the 261.80% Fibonacci extension level, before another downward trend likely takes it back to retest support at $2.13, the 161.80% Fibonacci extension level.
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As Dark Defender noted, it may take a few days to get rid of this structure. This means that the XRP price may continue to trade between these levels before any decisive move either upwards or downwards.
Recent market factors Suggest a break to reverseThat will send the XRP price resuming to new multi-year highs. At the time of writing, XRP price is trading at $2.37, up 2.9% in the last 24 hours.
There is one factor contributing to this optimism Nomination of Paul Atkins By President-elect Donald Trump to lead the SEC. Atkins is widely considered crypto-friendly, and his potential leadership could mark the end of the long-running SEC-Ripple legal dispute. Such a resolution would invite significant institutional and retail flows into the XRP ecosystem.
Featured image created with Dall.E, chart from Tradingview.com
