20% XRP Surge Hints at $2, Bitcoin (BTC) Does Something We Didn’t Want, Crucial Pepe (PEPE) Moves Inward, Here’s When

The price of XRP is up 20% to $1,166, continuing its remarkable rally. Based on Elliott Wave Theory, the current move is in line with the bullish pattern’s pivotal third wave, which is often considered the strongest and most significant stage of an uptrend. This increase puts XRP in a position to hit an important price point in the coming days. After breaking above $1.00 to start the first wave, XRP went through a consolidation phase around $1.30 to form the second wave.

With strong momentum and increasing volume, XRP now appears to be in its third wave. In the past, this wave tends to push prices higher than previous moves, drawing in more buyers and increasing optimism. The next resistance level, $1.80, is one of the important levels to watch while XRP’s momentum is still strong. If this level is broken, XRP could reach the $2.00 mark, a significant psychological barrier and an all-time high.

If XRP continues on this path, $2-$20 can also be considered a long-term target. The immediate resistance is at $1.80. Above this, a breakout validates the strength of the third wave. A major psychological and historical barrier that could draw increased market activity is $2.00.

$2.20: If the rally gains more steam, this could be the top target. One of the downside risks is a drop below $1.30, which would test the wave structure and suggest a potential downtrend. Any corrective action should be mitigated by the strong support still present around $1.30.

Uncomfortable Bitcoin Market

As it makes a lower high on the daily chart, Bitcoin indicates that it may be reversing. For bullish traders, this is worrisome because lower highs often indicate waning momentum and could indicate a more significant correction. Bitcoin is currently facing resistance that could limit its near-term upside potential despite its recent strong run.

When the high falls, it means that buyers lose control and cannot drive the price to new highs. As sellers gain confidence and trading volume begins to decrease, this pattern usually comes before longer consolidation or further downward movement. If Bitcoin fails to surpass the recent high of around $97,000, the current rally could be put to the test.

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Right now, Bitcoin is trading at around $97,500, just below the psychological $100,000 threshold. BTC needs to overcome the immediate resistance level of $98,000 to revive the bullish momentum. Support levels at $88,000 and $78,000 are crucial on the downside. The lower high pattern would be validated by a break below $88,000, which would likely trigger a deeper retracement towards the $78,000 area, which corresponds to the 50 EMA.

The fact that the Relative Strength Index (RSI) is still near overbought levels suggests that Bitcoin may require some cooling time before making another big move. There is also the possibility of near-term weakness as volume appears to be easing from earlier in the rally.

Pepe’s high potential

Pepe is approaching a critical point as its price hovers around the 21-day EMA, a crucial support level that has continuously contributed to the continuation of its recent uptrend. The current short-term downtrend is reflected in the cryptocurrency’s consolidation below a descending trendline.

This set of circumstances indicates that an eruption is likely imminent in some form. The price of PEPE has recently recovered from the 21 EMA, indicating how crucial it is as a support zone. It could open the door for a bullish reversal if the price can hold above this level. A break below the 21 EMA, on the other hand, could lead to a more severe correction; the next support levels are located at $0.00001746 and $0.00001350.

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The consistent decline in trading volume is among the chart’s most telling indicators. This decrease in activity often occurs before notable price movements because it indicates a consolidation phase where traders await a clear direction. PEPE is likely to encounter increased volatility and break out of its current range as volume spikes.

PEPE is under short-term bearish pressure, as indicated by the chart’s descending trend line. The price has struggled to break above this trend line, which has covered recent attempts at an upward move. PEPE needs to maintain its position above the 21 EMA and confirm a reversal by breaking through the high volume trendline to see a bullish breakout.