Beware of Getting Stuck in XRP: Analyst Warns the Price Could Still Dive to This Level
Analyst CasiTrades cautions that the recent upward bounce of XRP is potentially a trap. Technical analysis suggests the current move is not a structural change but rather movement within a larger bearish pattern. The RSI shows bearish divergence, indicating momentum strength is questionable. Despite bullish candlesticks, the price has failed to create a new high above $1.4, signaling ongoing resistance. The market resistance is highlighted by a completed five-wave move structure. Bearish divergence on the RSI supports the argument of impending reversal or exhaustion. Although the price is experiencing a fast rebound, nothing fundamental has changed yet. The current strength may simply be noise within the prevailing larger pattern. The analysis forecasts a significant reversal into an extended crash, targeting levels below $1. Initial downside targets include $1.13, marking a return to a prior crash bottom. This is followed by a movement towards the macro support zone around $1.08. The final projected leg break is below $1, aiming for the 0.854 support at approximately $0.87. The bearish case remains valid unless bulls reclaim a specific overhead zone. The critical support level needed for a reversal is the 0.618 zone. This target is situated around $1.40, which would need to flip into strong support for a significant change in trajectory.
