XRP is approaching a key support level, which analyst CasiTrades views as a likely bottom for the current corrective move. Traders have been monitoring the setup for several weeks, with the cryptocurrency trading at $1.3135 at the time of her analysis.
The Wave 2 correction develops
CasiTrades, a cryptocurrency analyst followed by thousands of market participants, has identified XRP’s recent decline as part of a Wave 2 correction in the context of the Elliott Wave framework. According to her analysis, the price has fallen sharply from highs near $1.50, and she expects the bottom of this correction to occur at $1.27.
She explains that $1.27 is just above a key Fibonacci retracement level at $1.2602, which represents the 0.618 retracement for this move. There is also a secondary support zone at $1.2374, associated with the 0.65 Fibonacci retracement.
On her chart, CasiTrades has marked a green support area spanning $1.24 to $1.32, indicating this range as a likely region for accumulation among traders.
XRP is advancing through its Wave 2 correction and is very close to the first target at $1.27. Recent developments have increased the likelihood that this level could serve as the market bottom. The $1.27 area includes a small buffer above the core Fibonacci level near $1.26.
| Support/Resistance | Price Level | Technical Marker |
|---|---|---|
| Primary support | $1.27 | 0.618 Fibonacci |
| Secondary support | $1.2374 | 0.65 Fibonacci |
| Current resistance | $1.65 | Key breakout threshold |
Mini dictionary: Elliott Wave, a form of technical analysis based on identifying recurring wave patterns in financial markets, is often used by crypto analysts to forecast price movements through a series of impulse and corrective waves.
Bitcoin adds to the equation
CasiTrades also points out Bitcoin’s recent lack of volatility as an important factor. She suggests that altcoins such as XRP could begin to bounce and even rally independently, without requiring a strong move from Bitcoin. This scenario gives XRP short-term flexibility and reduces its dependence on Bitcoin’s price trends.
Possible price trajectories
The analyst describes two possible directions for XRP from the $1.27 level. In the first scenario, XRP finds support at $1.27 and begins a new upward phase, identified as Wave 3. In the alternative scenario, XRP only briefly pauses at this level before declining further toward $1.10 or possibly $0.87, where deeper support has been established.
She states that the $1.27 zone is attracting swing traders and long-term investors aiming to position for a larger rally. However, CasiTrades indicates that a meaningful break above $1.65 resistance is required before she would consider leveraged trades.
Key market indicators
The Relative Strength Index (RSI) on her chart currently reads 42.47, with the signal line at 37.07—both nearing oversold levels. This divergence, according to her, raises the potential for an emerging Wave 3 breakout if support holds.
CasiTrades emphasizes that $1.27 is a pivotal decision area. Maintaining that level could keep the bullish outlook intact. If XRP breaks below, a move towards deeper support bands remains possible. The next phase in the trend will become clear soon.
