XRP Price Prediction: XRP Shows Strong Signs of Recovery, Breakout Targeting $5 to $8

Ripple’s XRP is showing strong signs of recovery after facing intense market volatility. Following a sharp drop to $2, the token quickly rebounded

Crypto traders are closely following Ripple’s XRP as it shows signs of recovery after facing market volatility. The token dropped sharply to $2 before quickly recovering, indicating strong buying interest.

After a steep decline from $3 to $2, Ripple’s XRP token quickly bounced back, showing signs of recovery as it broke above the 0.382 Fibonacci level. This recovery follows a period of intense market volatility, which saw major cryptocurrencies experience widespread sell-off pressure.

Despite the broader crypto market stabilizing and Bitcoin experiencing a slight bounce from its recent decline, several tokens continue to struggle, with some slipping below key support. However, XRP appears to be on the verge of a breakout, setting the stage for the next leg up.

As the broader crypto market shows signs of stabilization, analysts are closely monitoring key resistance levels that could trigger the next move up for XRP. The token’s recovery from the $2 level, following a sharp drop from $3, marks a significant development.

Here’s a look at what a cryptocurrency analyst is saying about the token’s next move.

As the dust settles on March’s crypto market dustup, April is beginning with a shift in momentum, as Bitcoin (BTC) edges up from recent lows. The flagship token dropped to lows of $44,003 in recent times, having now rebounded to trade above $45,000 at the time of writing.

This positive sentiment has provided support for XRP, which is gaining momentum as traders anticipate a potential rally.

XRP is currently trading at $2.17, showing an increase of 4.70% over the past 24 hours. The token’s 24-hour trading volume is $6.83 billion, and its market capitalization is $125.74 billion.

XRP’s Potential for $5 to $8 as Rally Strengthens

Prominent market watchers are seeing a bullish setup forming for XRP.EGRAG CRYPTO noted the unfolding Inverse Head & Shoulders pattern, a classic bullish reversal indicator. According to the analysis, a close above Fib 0.888 (around $2.24) is the next minor target, potentially setting the stage for further gains.

Meanwhile, Dark Defender highlighted the significance of the $2.222 Fibonacci level, which the token needs to break for a sustained rally. The analyst also noted that while a revisit to $2.04 is possible, the overall outlook suggests a strong uptrend heading into April and May.

If the token follows historical wave patterns, the Wave 5 target sits between $5 and $8.

90% Bearish on XRP, A Setup for Contrarian Rally?

Interestingly, 90% of traders are bearish on XRP, a sentiment that could fuel a contrarian rally. Throughout history, periods of extreme pessimism have often preceded sharp price reversals, rendering this setup even more interesting for bullish traders.

With momentum building and technical signals aligning, XRP’s breakout attempt is one to watch closely. A decisive move above key resistance could ignite a fresh surge, reinforcing its position in the crypto market’s next bullish phase.