XRP has recently experienced a deeper decline than anticipated, yet it remains above a significant higher timeframe support level. Observations indicate that the cryptocurrency is barely holding this support while maintaining its broader market structure. As reported by Hov, the current wave count has been adjusted to reflect a sideways combination correction for the larger degree fourth wave.
The chart illustrates a clear reaction at the 50% retracement level prior to attempts at stabilization. This behavior echoes findings in a previous analysis where XRP was noted to be trading within an accumulation range near critical support, specifically around the $2.00 mark, while the market awaited a breakout.
On a lower timeframe analysis, XRP has demonstrated a five-wave structure emerging from its recent low, contrasting with several altcoins that have only shown three-wave recoveries. In the outlined scenario, a move towards the $2 range during the fifth wave would enhance confidence that a local low has been established, potentially followed by a three-wave correction into support that would serve as further confirmation.
This pattern of technical behavior was previously highlighted in reports discussing XRP“s testing of the $2 support zone after a prolonged downtrend, which indicated diminishing selling pressure around this critical region. The ongoing price positioning raises questions about whether the five-wave pattern will continue to evolve.
If XRP successfully advances towards the $2 threshold and maintains its position during a subsequent pullback, it would suggest that the recent corrective phase may have reached its bottom, paving the way for a new impulsive leg in the market.
