XRP is making headlines today as analysts predict a potential Wave 5 rally that could push its price toward $6.85. With rising wallet activity and strong support levels holding firm, XRP investors are watching closely for signs of a major breakout. Could this be the start of a significant upward trend for one of the most talked-about cryptocurrencies?
XRP News: Wave 5 Rally Targets $6.85
According to Elliott Wave analysis by Dark Defender, XRP is currently in Wave 4 consolidation, with Wave 5 expected to drive prices toward $6.85. This bullish pattern follows the completion of Waves 1 through 3, suggesting nearly 100% upside from current levels if the pattern holds.
XRP Wallet Activity Signals Growing Confidence
On-chain data reveals a 91-day reduction in the average age of XRP holdings, indicating increased circulation and trading activity. Key metrics include:
- 13% decrease in average holding age over the past month
- Spike in “Age Consumed” metric signaling portfolio adjustments by large holders
- Surge in reactivation of previously dormant wallets
XRP Price Prediction: Key Levels to Watch
Technical analysis highlights critical support and resistance levels:
| Level | Price | Significance |
|---|---|---|
| Support | $3.15 | Critical floor for further gains |
| Resistance | $3.61 | Breakout above could accelerate rally |
| Target | $6.85 | Wave 5 projection |
What Could Derail the XRP Rally?
While the technical setup appears bullish, external factors could impact XRP’s trajectory:
- Broader cryptocurrency market sentiment
- Regulatory developments
- Macroeconomic conditions and risk appetite
FAQs About XRP’s Potential Rally
Q: What is the Elliott Wave theory predicting for XRP?
A: The analysis suggests XRP is in Wave 4 consolidation, with Wave 5 potentially driving prices to $6.85.
Q: How significant is the recent wallet activity?
A: The reduction in average holding age and spike in dormant wallet activity suggests growing investor confidence and potential accumulation.
Q: What are the key support levels for XRP?
A: $3.15 has proven to be strong support, while $3.61 represents the next major resistance level.
Q: Could external factors affect XRP’s price movement?
A: Yes, broader market sentiment, regulatory news, and macroeconomic conditions could all influence XRP’s trajectory.
