Top analyst Dark Defender says XRP is on the verge of setting a new all-time high of $5.8, calling attention to the 5-wave structure that is following the asset.

Dark Defender lays the foundation for the latest analysis of the sharp correction that XRP faced from the $1.96 high. Recall that XRP hit $1.9669 in April 2021 after an impressive rally. However, the asset gave back all the gains from this rally, correcting from the $1.9669 high.

Dark Defender’s chart highlights the 5-wave structure that XRP followed during the correction, designated as Wave A to Wave E. The data in the chart indicates that it took XRP 20 months to complete the correction. Notably, the correction ended with Wave E when XRP dropped to $0.30 in January.

The second structure

After the correction ended, the chart shows that XRP started to form another 5-wave structure, designated as waves 1 to 5. Unlike the previous structure, this new one is bullish, and the price predictions for the asset are high.

According to analysts, the first wave of this structure led to XRP hitting a high of $0.91 in July this year. Recall that XRP soared to $0.91 on July 13 following the ruling of Judge Analisa Torres, which declared that the asset itself was not a security.

However, XRP gave back its previous gains. Interestingly, from July 17 to September 11, the asset recorded eight weeks of declines in nine weeks. XRP plunged to the $0.45 level, creating the second wave. Analysts note that the asset faces a slight risk of falling to $0.39, marking the final point of XRP’s wick.

XRP to $5.8

Now that XRP has completed its wave 2 correction, Dark Defender expects the asset to see a bullish future in wave 3. He noted that XRP’s price is on the verge of closing above the weekly Ichimoku cloud, which is between the $0.52 and $0.56 price levels.

The analyst asserts that XRP’s price action will turn bullish when the asset closes a week above this level. He then sets two Fibonacci targets for the upcoming bullish wave 3. The first target is $1.8815, which he believes will be a critical resistance for XRP to rise.

He stated that $1.8815 is an important target that XRP needs to break through. Dark Defender believes that once XRP breaks through this level, the asset will soar to a new all-time high of $5.8563.

At press time, XRP is changing hands at $0.5165, down 0.75% over the past 24 hours. A surge from current prices to $5.8563 would require a massive 1,033% increase. Whether this price surge will materialize as expected remains to be seen.