Key Takeaways
- XRP faces a decisive retest at $2.25, signaling a short-term bearish correction.
- A decline toward $1.90 could serve as the final flush before bullish momentum resumes.
- RSI on both daily and 4-hour charts hints at exhaustion, suggesting a rebound may follow.
May 1 begins with XRP clashing against the significant $2.25 price wall, a level that once supported the asset’s rally but has since turned into a resistance barrier.
As market analyst CasiTrades put it, XRP’s inability to sustain above this point in recent times is a reflection of a continued corrective pattern of a wave. What was a relief rally in the form of subwave B is now over, followed by what is potentially a steeper decline: subwave C.
Technical analysis indicates this ongoing wave has the potential to take XRP to $2.00 and has the potential to dip to even $1.90. This point is not random; it is directly in line with both the 0.5 and 0.618 Fibonacci levels of the last upsurge.
Historically, these retracement levels have provided good turning points in bullish movements. For XRP, $1.90 has never been tested since its most recent breakout and is thus a rational selling target and a key checkpoint to measure against before re-entering.
Chart Breakdown: Daily and 4-Hour Views in Focus
A detailed chart breakdown for the day finds XRP in a bearish continuation pattern represented by a descending triangle. The rejection at $2.25 is now a back-test and possibly a confirmation of resistance.
Support levels at $2.00 and $1.90 are holding firm, with $1.90 also turning into a confluence level on historical price action and Fibonacci readings.
In parallel, the 4-hour chart brings clarity to the developing wave structure. The symmetrical triangle earlier held out hope of a breakout in either direction, but XRP’s break below the lower trendline shifts momentum downwards. This movement establishes that this is indeed subwave C in progress, and how it will unfold is dependent on market response around $1.90.
The RSI readings on both timeframes are highlighted by CasiTrades, indicating exhaustion. With RSI at or below levels of oversold thresholds, a reversal becomes more likely. This does not refute the bearish drift seen but implies a finite downside before movement is reversed.
XRP Eyes $2.68 and $3.00 Once $2.25 Is Reclaimed
The overall scenario is unchanged. XRP’s long-term outlook continues to be positive, with targets at $2.68 and $3.00 when $2.25 is regained convincingly. If XRP finally completes its pullback with a wick to $1.90 and bounces back, it may signal the completion of the corrective pattern.
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