The impulsive structure of XRP is approaching its decisive phase in anticipation of the Wave 4 rally

After months of failed attempts to break higher, XRP is finally nearing the end of its long corrective sequence. The market appears to be transitioning from a phase of exhaustion to a critical decision point. Analysts observe that the price has executed a textbook move toward the “golden pocket,” precisely reaching the 0.618 retracement and the 1.618 extension of Wave 3, marks that historically indicate capitulation within impulsive corrective patterns.

The most significant turn is the clear bullish divergence at recent lows, signaling that sellers are losing strength. With Wave 3 likely completed, market focus now shifts to a possible relief move in Wave 4.

Golden Pocket reached: XRP completes its decline within the corrective sequence

According to analyst CasiTrades, XRP has touched the critical price zone between the Fibonacci retracement 0.618 and the extension 1.618. This zone is known as the “golden pocket” and typically marks the point where the impulsive corrective move exhausts itself. The move has been so precise that some analysts describe it as “textbook,” suggesting that the wave structure is following the expected model exactly.

Current analysis sets $1.78 as the first key resistance to watch (which coincides with the Fibonacci retracement 0.382). A sustained break above this level would be the first confirmation that Wave 4 relief is underway. The importance of this move lies in its potential to invalidate the need for further impulsive declines.

Upside targets: The path toward $1.93 and $2.03 under watch

According to Elliott Wave structure, Wave 2 was notably shallow, retracing only to the 0.382 level. This pattern is historically significant: when second waves are shallow, they are often followed by more pronounced fourth waves. This opens the door to a potentially stronger relief move than previous corrections.

If the impulse continues and buyers maintain control, XRP could extend toward $1.93 and potentially reach the macro retracement of 0.5 near $2.03. The current price of $1.39 leaves significant room toward these targets. Holding and reclaiming $2.03 as support would be crucial, as it would reduce the chances of further impulsive declines and increase the likelihood of a failed fifth wave.

Expanded Flat: The emotional structure preceding major changes

Analyst XForceGlobal offers a complementary perspective, identifying the current structure as the final phase of an “expanded flat” correction. Within this model, XRP is deeply positioned in Wave C, which is structurally the most volatile and impulsive part of the complete pattern.

The broader completion zone has been identified between $1.14 and $1.60. The price has recently traded within this range, and according to this interpretation, the corrective sequence is nearing resolution. Expanded flats are known in markets for psychologically exhausting participants before a significant trend reversal begins.

Critical levels: The impulsive crossroads for XRP

A sustained move above $1.78 will confirm that the bullish relief scenario is activated. A firmer acceptance above $1.93 further reinforces this case. However, until XRP demonstrates a clear and sustained close above $2.03, the bearish scenario remains a viable possibility.

If XRP fails to break through the key resistance, there is a risk of retracing toward the $1.55 region, with deeper declines possible if overall market conditions deteriorate. The impulsive volatility typical of this phase means rapid movements in both directions should be expected.

Market outlook: Nothing confirmed until resistance is broken

As analysts point out, the corrective structure is reaching its decisive moment. The presence of bullish divergence and the geometry of the move toward the golden pocket are constructive signals. However, nothing is confirmed until XRP demonstrates a clear and sustained breakout of key resistances.

The XRP market is at an impulsive point where small movements can have significant implications for wave structure. The coming days will determine whether we are entering a recovery phase or if sellers maintain control of the narrative. For now, all eyes are on whether the price can close firmly above $1.78 and begin the anticipated ascent toward Wave 4.

XRP-1.22%
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