Technical analysis on the daily time frame shows that XRP price has consolidated after hitting a yearly high on March 29. The consolidation started after the price was rejected by the $0.530 resistance area. However, there are signs that the price may resume its uptrend soon.
daily outlook
Since breaking above the descending resistance line on March 21, XRP has quickly rebounded to reach the aforementioned yearly high. Although the price fell below the $0.530 area shortly thereafter, there was no bearish divergence on the RSI. However, this area rejected the XRP price on April 5, forming a long wick above.
If the cryptocurrency explodes, it can rally to the next long-term resistance at $0.650. On the other hand, if the price is rejected, it could drop to the nearest support at $0.425.
XRP/USDT daily chart | Source: TradingView
several waves
A closer look at the price action and wave numbers on the 12-hour time frame reveals that the XRP price is currently in the fourth wave of a five-wave bullish impulse (white). This gives a bullish forecast for April, suggesting that it could break the $0.525 resistance area and head towards $0.650. Besides being a horizontal resistance area, this is the 2.61 extended FIb level of the first wave (white).
The most likely formation to complete the correction is the short-term symmetrical triangle. On April 3 (green icon), XRP price bounced off the confluence of the triangle support line and the 0.382 Fibonacci retracement support (black). So maybe this is the bottom of the correction, followed by a breakout shortly thereafter.
However, this scenario will be invalidated if the price breaks below the first wave high at $0.433 (red line), and a drop to the $0.350 support is possible.
XRP/USDT 12-hour chart | Source: TradingView
In conclusion, the most likely XRP price prediction is a rally towards the $0.650 resistance area, but a break below $0.433 could trigger a drop towards $0.360.
You can see the token price here.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Investors should do their research carefully before making a decision. We are not responsible for your investment decisions.
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