Source: Cointelegraph Original: "{title}"
XRP price surged 13% throughout the day, breaking the $2 mark after President Trump announced a 90-day suspension of all reciprocal tariffs (except for the additional 125% tariff on China in response to China's counter-tariffs).
The rebound in XRP occurred against the backdrop of additional positive news and the successful launch of the XXRP ETF on the New York Stock Exchange (NYSE) Arca.
Despite the positive macroeconomic news and cryptocurrency adoption in traditional finance, XRP's charts still warn of a potential sharp price decline.
Descending Triangle Pattern Suggests a 33% Drop
Since December 2024, XRP's price has formed a potential triangle pattern on its daily chart, characterized by a flat support level intertwined with a downward-sloping resistance line.
Descending triangle patterns formed after a strong upward trend are typically seen as bearish reversal signals. According to the rules, when the price breaks below the flat support level, it usually declines by the maximum height of the triangle.
On April 6, the price broke below the $2 triangle support line, confirming a potential breakdown trend. In this case, the price could drop to around $1.20 before the end of April, representing a 33% decline from the current price level.
XRP/USD Daily Chart. Source: Cointelegraph/TradingView
The target for XRP's descending triangle aligns with the prediction of trader CasiTrade, who believes that based on "classic" Elliott Wave Theory analysis, XRP could fall to $1.55.
The trader stated in an April 8 post on X: "Right now, $1.81 is the key level for a breakout," adding that if the price falls below this level, it will confirm a deeper downward trend.
According to CasiTrade's analysis, the next level to watch is $1.71, where the price may pause temporarily, followed by the "expected final low" of $1.55. "Key range: $1.55 is the golden retracement level and a possible endpoint for the entire correction W2."
XRP/USD 15-Minute Chart. Source: CasiTrades
This bearish market outlook aligns with the prediction of veteran trader Peter Brandt, who believes that XRP's price could drop to $1.07 due to the formation of a "classic" head and shoulders pattern on the daily chart.
Can the Launch of the XXRP ETF Prevent XRP Price Sell-off?
Despite the XXRP ETF launching on April 8, 2025, on the NYSE Arca, XRP's price remains unstable due to complex market dynamics and escalating trade wars. This 2x leveraged ETF aims to amplify XRP's daily returns, launching at a time of high market volatility, with XRP dropping 7.4% in 24 hours and currently trading at around $1.71.
The XXRP ETF attracted $5 million in trading volume on its first day, which Bloomberg ETF analyst Eric Balchunas called a commendable achievement, considering the turmoil in the cryptocurrency market and other global markets.
Although this performance was 200 times less than BlackRock's IBIT ETF's first-day trading volume, the XXRP's performance still places it among the top 5 new ETF launches.
Source: Eric Balchunas
In addition to the XXRP ETF, macroeconomic factors, particularly President Trump's reciprocal tariffs, have become a focal point this week, threatening further volatility in the cryptocurrency market.
Related: Bitcoin's $100,000 Target "Back on the Agenda" After Trump's Tariff Suspension
This article does not contain investment advice or recommendations. Any investment and trading activities involve risks, and readers should conduct independent research before making decisions.
免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。
