XRP has broken past its first major weekly resistance, a move analysts see as the beginning of a new bullish phase.
Market watcher Dark Defender shared a chart pointing to the next levels XRP could reach if momentum continues.
XRP Breaking Through Resistance
In a tweet update today, Dark Defender shared a weekly chart highlighting XRP’s move above the $2.85 level, which aligns with the 61.80% Fibonacci level.
This zone acted as the initial weekly resistance for XRP.
At press time, XRP is trading at $3, holding above this resistance zone, which could flip to support soon.
The breakout suggests the market is shifting from consolidation to the next bullish phase.
Notably, Dark Defender’s analysis follows Elliott Wave Theory.
Specifically, XRP recently completed its Wave 1 rally and Wave 2 correction.
The breakout may mark the start of Wave 3, another stage for strong gains.
Here’s How High XRP Can Go
The chart highlights key Fibonacci extension levels, including the 161.8% level, aligning with a $4.39 price target.
The second outlook is the 261.8% Fibonacci level, corresponding to a $5.85 price target.
These levels serve as potential upside targets if XRP maintains momentum above the breakout zone.
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XRP Weekly chart by Dark Defender
Notably, this latest update from Dark Defender comes a week after he previously noted that XRP may be gearing up for a major rally following the completion of a Wave 4 correction.
At the time, he identified $2.85 as the level to beat.
With XRP breaking past its first weekly resistance, all eyes are on the $5 level as the next major price point.
Indeed, more analysts are becoming increasingly bullish about XRP’s prospects following its 26% correction from the July peak of $3.66.
Other Analysts on Why XRP Is Bullish
In a separate update, veteran analyst Michael XBT urged market participants to “watch XRP this week,” hinting at a potential major move.
His cryptic post has stirred bullish expectations, given his accurate past calls, including predicting XRP’s 600% surge from $0.50 to $3.40 in 2024.
Michael believes XRP’s next rally could align with a broader Bitcoin breakout, which is currently following a slow rhythm.
Bitcoin has now rebounded to a new three-week high of $114,566 amid hopes for rate cuts, with expectations for a continuation to the $120,000 level and beyond.
Further supporting the bullish outlook for XRP, other technical analysts like Davie Satoshi have said XRP’s setup is “too clean to ignore”.
In his commentary, he noted that XRP is entering Wave III of the Elliott Wave cycle, with price targets ranging from $4.50 to as high as $30.
Beyond technicals, other factors driving the positive outlook for XRP include the imminent launch of ETFs in the coming months and a continued wave of institutions adopting XRP for treasury use.
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