XRP Price Forecast: Could a Final Crash Be on the Horizon?
XRP Price Prediction: Is a Major Crash Coming?
A prominent crypto analyst, Dark Defender, has issued a warning regarding the potential for a final major crash in the XRP price. The analysis utilizes the Elliott Wave theory, examining historical price movements and projecting future paths for XRP based on critical price levels and wave patterns.
A Look Back at XRP’s Wave 1
According to Dark Defender, XRP completed its Wave 1 in mid-July 2022, reaching a peak of $0.9327. This surpassed initial targets set when XRP was trading at $0.28. “We initially targeted $0.89 and above when XRP was at $0.28, and XRP closed the Wave 1 at $0.9327. We set the limits and targets and then see how the market reacts,” Dark Defender stated.
Support Levels and the Accuracy of Elliott Waves
After reaching its peak, the price action found a firm base at $0.3917, with a brief touch at $0.3814. This confirms the accuracy of the predicted support levels based on the Elliott Wave theory. “We all knew that our lowest level was $0.3917, and XRP almost precisely touched $0.3814. We emphasized that this area was the lowest Fibonacci zone several times,” the analyst declared.
The Importance of $0.6649
Dark Defender has placed considerable emphasis on the $0.6649 mark, calling it an “extraordinary level” and “the strongest of all.” The analyst notes, “As soon as we see XRP above $0.66, a day, a week, a month, then we will see tremendous moves.”
A Red Signal from the Weekly Wave Indicator
However, the latest weekly Wave indicator displays a red signal, suggesting possible downward pressure. Dark Defender advises investors to consider support levels of $0.5286, $0.4850, and the less likely possibility of $0.3917 as a double dip. “At the moment, the weekly indicator gives us a red signal, which can be false but tells us to consider these support levels,” he cautions.
Potential for Decline vs. Long-Term Bullish Momentum
While there’s a potential for a decline, Dark Defender believes it is less likely. “Can XRP touch these levels again? Yes, but it’s less likely.” Despite the short-term bearish signal, the monthly wave trend remains green, typically overriding the weekly indicators. This suggests the red signal could be premature. “Although the weekly signals red now, the monthly wave trend is green, which trumps the weekly. This leads me to believe that the weekly signal is a false one at this stage,” the analyst explains.
Targets for XRP’s Wave 3
The analyst still believes that XRP’s Wave 3 “possible targets are at $0.88, $5.85 and $18.22 respectively.” However, before the price can rally this high, there’s a final hurdle to overcome.
The Last Major Resistance
“As long as $0.48 and most importantly $0.3917 is maintained, XRP targets are clear, especially after $0.6649. Please do not underestimate and think what the hell is $0.66? It is the red thin line. We know, and see what is going on in the background. Less people remain on the ship, we see. But I trust myself, Ripple, and XRP. Exciting times are ahead of us,” he states.
At press time, XRP traded at $0.5302.
Featured image created with DALL.E, chart from TradingView.com