On September 4, 2024, Ripple (XRP/USD) showed promising signs of a bullish setup. Analysts have been tracking this development closely, especially following a key announcement from Grayscale about launching the first U.S. XRP Trust. This development has fueled speculations of a potential XRP ETF, leading to renewed optimism among investors.
Technical Analysis Overview
Ripple has been forming a clear bullish setup, with a significant leg up observed in the subwave "i". This was followed by an a-b-c corrective pullback in wave "ii", which found strong support at the $0.50 level. This level has become a critical area of interest, as the price action is now bouncing back from this support zone.
The next major target is a bullish continuation toward wave "iii", which is expected if XRP/USD can break above the channel resistance and the $0.66 region. This would indicate further momentum to the upside.
Four-Hour Chart Analysis
The four-hour chart of XRP/USD presents a strong recovery from the $0.50 support level. This recovery, which formed a clean five-wave pattern, is a positive sign for bullish traders. Such a wave formation is often a strong indicator of an upcoming upward trend, suggesting that the bulls are gaining control.
However, there could be a short-term pullback before more gains are realized. The analysis suggests that XRP may undergo an a-b-c pullback in wave (ii), potentially retesting the $0.55â$0.54 support area before another rally occurs.
One-Hour Chart Insights
On the one-hour chart, the technical outlook remains bullish, but short-term traders should watch for the potential pullback. This correction could offer a good entry point for those looking to catch the next leg up in Ripple's price movement.
What to Watch Next
Investors should closely monitor the price action in the coming days, particularly the key resistance levels mentioned. If Ripple breaks above the $0.66 region, it could signal a strong bullish breakout, paving the way for more significant price increases.
For those interested in a deeper dive into the technical analysis, more insights were shared in a live webinar on September 16, 2024. Watching this analysis could provide additional clues about Rippleâs future price movement.
In summary, Ripple is showing signs of a bullish breakout, and with key support and resistance levels in play, traders should remain vigilant as the market unfolds.
