- XRP forms an inverse head and shoulders while setting up a five-wave Elliott structure, signaling potential upside beyond $5.00.
- Price consolidation nears completion as XRP hovers around $2.06 with critical resistance at $2.25 and strong supports below.
- Technical indicators and rising volume suggest XRP may break its neckline and reclaim its previous $2.60–$3.00 trading zone soon.
XRP is showing strong technical potential as two bullish formations take shape on different timeframes. The 4-hour chart reveals an emerging inverse head and shoulders pattern. Simultaneously, the daily chart shows a larger Elliott Wave structure hinting at an explosive rally. With current resistance at $2.25 and price hovering around $2.06, bulls may be preparing for a breakout. Besides, volume patterns and key support levels suggest XRP is concluding its final consolidation before a potential surge.
Inverse Head and Shoulders Hints at Short-Term Reversal
On the lower timeframes, XRP trades on Binance at $2.0653 with a slight 0.34% gain in the latest candle. A small inverse head and shoulders pattern has formed from early to mid-April. The left shoulder developed around $1.80–$2.00, followed by a head formation near $1.65. Consequently, the right shoulder completed above $1.90, forming higher lows.
A neckline sits near $2.25, which XRP tested multiple times without breaking. However, volume spikes during pattern formation suggest building pressure. Hence, a break above $2.25 could trigger bullish continuation. Prior to the pattern, XRP traded strongly in the $2.40–$2.60 zone. Reclaiming this range could be the start of a short-term recovery phase.
Elliott Wave Structure Signals Long-Term Upside
On the daily chart, prominent analyst Dark Defender outlines a broader Elliott Wave structure. This begins with a consolidation phase ending near $1.28 in late March. Following that, XRP initiated what is labeled as “Wave 1,” suggesting a five-wave bullish sequence. The current price hovers around $1.96, confirming recovery from the recent low.
Key resistances lie at $2.22 and $2.30. Supports remain solid near $1.88 and $1.63. The projected target zones extend to $3.75 and $5.85. Moreover, price extensions align with the 161.8% Fibonacci level, adding technical confluence.
