XRP Eyes $11 Breakout, But A Correction Might Come First—Analyst

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The digital currency known as XRP, associated with Ripple, has been generating quite a buzz recently, as analysts foresee a potential rise in its value up to $11. Yet, it’s important to note that prior to this anticipated growth, XRP must overcome an immediate hurdle: a potential price adjustment or correction. Although the outlook for the long term is optimistic, it’s expected that the asset will experience a downturn before any substantial surge can occur.

As a crypto investor, I’m keeping a close eye on the significant resistance level at $2.73 for XRP. According to crypto analyst Ali Martinez, overcoming this barrier is essential for the continuation of a bullish trend in XRP prices.

The Critical Breakthrough

If the digital asset manages to surge past $2.73 and continue its upward trajectory, it may signal an opportunity for the price to reach as high as $11. Conversely, if it fails to break through, there could be a downward trend that takes the coin down to a possible low of $2.05.

Keeping a close eye on XRP’s fluctuations, investors are trying to predict if its price will surge or experience a correction due to its unpredictable price trend.

The digital currency XRP continues to gather strength inside a large bullish pennant formation. As long as the resistance at $2.73 holds, a dip back down to approximately $2.05 could occur before a potential surge towards an impressive high of around $11 might happen.

— Ali (@ali_charts) January 4, 2025

Technical Viewpoint

According to experts who subscribe to the Elliott Wave Theory, XRP has entered a phase of correction. After experiencing a five-wave surge, which indicates an impulsive rally, these analysts predict that XRP is currently preparing for an ABC corrective pattern.

In simpler terms, this kind of adjustment typically follows a prolonged series of gains and serves as a pause before another significant rise. Some experts predict that this correction will conclude around the middle of January 2024, offering investors an excellent chance to purchase assets prior to a fresh surge.

Making this adjustment might cause a brief drop in the price initially, yet it could pave the way for a more substantial rise over the next few months.

Bullish Sentiment

Despite the potential dips due to short-term price adjustments, the general outlook towards XRP remains overwhelmingly optimistic. A significant factor contributing to this bullishness is the recent resolution of Ripple’s protracted legal dispute with the U.S. Securities and Exchange Commission (SEC).

A positive decision regarding the case has significantly clarified XRP’s regulatory status in the public perception, making it a highly appealing investment option for numerous individuals. This expectation of more favorable cryptocurrency regulations from the government and a focus on crypto-friendly policies has generated a surge of interest and optimism, causing the market to trend upward.

A Brighter Future Ahead For XRP?

Despite some potential short-term adjustments, the overall outlook for XRP remains promising in the long run. Once these anticipated corrections occur, it could present an excellent opportunity for investors to jump in before the next surge.

The path towards reaching $11 for XRP is yet to unfold, and if its current trajectory continues, it promises an exciting spectacle. Traders and investors should continue their cautious watchfulness, keeping a keen eye out for potential resistance points and the shifting tides of the market.

Currently, XRP is being exchanged for approximately $2.41 per unit. In the past 24 hours, it has seen a slight increase of 0.1%. Over the last week, however, its value has risen significantly by 15.4%.

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2025-01-06 15:04