XRP Faces Critical Resistance at $2.70, Analysts Predict Potential Surge to $5

EGRAG CRYPTO, a prominent cryptocurrency analyst, has provided a comprehensive technical analysis of XRP’s short-term trajectory, emphasizing key resistance levels and potential breakout points. The analysis is based on Fibonacci retracement levels and trend indicators, suggesting that XRP is approaching a critical period where a strong breakout might occur.

The analysis identifies multiple price levels that could indicate increasing bullish momentum for XRP. The first sign of strength would be a daily close above $2.24, which aligns with the 21-day Exponential Moving Average (EMA). Moving beyond this level would suggest that the cryptocurrency is gaining upward momentum. A second important level is $2.30, which corresponds to the 0.382 Fibonacci retracement level. This would confirm that buyers are stepping in and defending higher support zones. A close above $2.47 (the 0.5 Fibonacci level) would be a strong confirmation that the price trend is shifting toward a potential breakout.

The most critical resistance level in EGRAG CRYPTO’s analysis is $2.70, which is aligned with the 0.618 Fibonacci retracement level. If the cryptocurrency can close above this level, it would indicate a break above a key trendline, significantly increasing the likelihood of a sustained rally. A breakout above $2.70 would suggest that market sentiment is shifting bullish, potentially paving the way for XRP to target the 1.618 Fibonacci extension level, which is positioned around $5.04. This would represent a substantial increase from the current price of $2.11 and a new all-time high for the digital asset.

EGRAG CRYPTO shows that XRP has been trading within a ranging box, consolidating between support and resistance levels. The equilibrium level, identified at $2.00, serves as a psychological support zone where price action has frequently stabilized. If XRP fails to hold above this level, it could risk further downside movement toward $1.63, the next major support. However, a head-and-shoulder pattern recently formed on the chart suggests it could fall further if a bearish trend begins. The 21 EMA will play a crucial role in determining short-term momentum. As long as XRP stays above this moving average, bullish momentum remains intact.

The most significant bullish confirmation investors should look out for is a daily close above $2.70, as this would indicate a potential breakout to a new all-time high. EGRAG CRYPTO forecasts a potential surge to $5.00 if XRP successfully surpasses the $2.70 resistance level. However, the analyst also warns of a 70% chance of a potential correction to $0.65 if the bullish momentum does not hold. Despite this warning, the analyst notes that if XRP breaks through a key level ahead, it could hit double-digit figures within the next two to three weeks.

EGRAG CRYPTO also highlighted that XRP is currently in an Ascending Broadening Wedge pattern, which often signals high volatility. The analyst emphasized that XRP must close above $3.50 to confirm a bullish setup. If it fails to hold above $5 during a future rally, it may retest $1.90. Following that, another attempt to close above $5 could trigger a run to $6. A successful close beyond that level could propel XRP into double-digit territory, likely $17.50, within weeks.

Another expert, Dark Defender, shared a bullish forecast for XRP in the near term. Highlighting the monthly chart outlook, the analyst noted that the Relative Strength Index (RSI) remains strong, and the A Wave has been completed. Dark Defender expects a B Wave that could drive XRP price up to $3. He also speculated that XRP might skip the final C Wave, heading straight to long-term targets near $5.85. The short-term bullish targets remain at $2.222 and $2.555, while key supports lie between $1.95 and $2.04.

Meanwhile, expert CasiTrades noted that the next support for XRP lies at $2.24. If it successfully breaches this level, Ripple’s coin is likely to target $2.7, $3.05, and an all-time high of $3.80. Investors are also keeping a close track of the XRP lawsuit developments, as a positive outcome in the case could significantly drive the prices higher in the coming days. However, a delay by the US SEC in concluding the case has dampened market sentiment, which has also caused the XRP price to remain stagnant over the past few weeks.

In summary, the path to $5 for XRP hinges on its ability to break through the $2.70 resistance level. Analysts are divided on the short-term outlook, with some predicting a potential surge to $5 and others warning of a possible correction to $0.65. The ongoing lawsuit and market volatility add to the uncertainty, but the overall sentiment remains cautiously optimistic.