XRP Maintains Macro Bullish Structure Despite Deeper Correction

Overview

XRP has experienced a deeper corrective move than originally expected, yet it continues to uphold its macro bullish structure. Despite testing lower levels, the price action has not confirmed a significant breakdown, indicating that the current pullback may be part of a broader consolidation within an ongoing uptrend.

XRP Dips Deeper, But HTF Level Still Holds

In a recent update regarding XRP, it was noted that the price action has dipped deeper toward the lows than what would typically be considered acceptable for a previously anticipated diagonal scenario. This unexpected movement has necessitated a reassessment of the short-term structure. However, despite this deeper price action, the broader setup has not completely broken down.

Crucially, XRP has not produced a higher-timeframe close below a critical support level. The price is maintaining this area by a narrow margin. As long as a decisive higher-timeframe breakdown is avoided, the broader bullish structure remains intact. Given the recent price behavior, the corrective count has been adjusted to reflect a sideways combination correction within a larger-degree Wave 4.

The pullback has reached the 50% retracement level, which adds technical confluence to the notion that this phase could be a mature correction rather than the onset of a more extensive reversal. A key development to watch for is a clear five-wave advance from the recent low. XRP has already demonstrated a clean micro five-wave structure off the bottom, a characteristic that many other altcoins currently lack, as they continue to exhibit overlapping three-wave moves. This relative structural strength supports the ongoing bullish narrative.

A sustained push toward the $2 region in a confirmed Wave 5 could bolster confidence that a durable low is in place. Following this, analysts would be on the lookout for a controlled wave 3 retracement into support as confirmation, indicating that the market is gearing up for continuation instead of a deeper breakdown.

Technical Structure Remains Firmly Bullish

Despite the recent consolidation, XRP continues to maintain a technically bullish posture. While the price action has pulled back, the broader structure has not shifted into bearish territory. Although momentum may have cooled, the underlying trend remains constructive.

An important level to monitor is the 200-week moving average. As long as XRP remains above this long-term indicator, the macro uptrend stays intact. Historically, sustained bearish phases have often commenced after a decisive break below this level, which has not occurred in the current setup. Presently, XRP appears to be consolidating within a broader bullish framework, suggesting that the structure still favors upside continuation unless proven otherwise.

The dynamics of the trend have not flipped, and until major support is breached, the long-term outlook remains technically positive.

From author

The ongoing developments in XRP’s price action illustrate the complexity and resilience of its market structure. While corrections are often seen as negative by some investors, in this case, they seem to be part of a larger bullish framework. The emphasis on critical support levels and the importance of maintaining above the 200-week moving average highlights the cautious yet optimistic sentiment surrounding XRP’s future potential.

Impact on the crypto market

• XRP’s ability to maintain its macro bullish structure may influence investor sentiment positively across the broader cryptocurrency market.
• The technical strength observed in XRP could serve as a benchmark for other altcoins, potentially encouraging similar bullish behavior.
• Continued consolidation above critical support levels may attract more institutional interest in XRP, particularly in the context of broader market dynamics.
• A confirmed Wave 5 push towards higher price levels could instill confidence in market participants, leading to increased trading activity.
• The focus on maintaining above the 200-week moving average could set a precedent for how other cryptocurrencies are evaluated concerning their long-term trends.