XRP Moves into ‘Washout Zone’ Before Aiming for $30, According to a Crypto Analyst

XRP Enters Washout Phase, Potential for Future Gains

XRP has entered what analyst XForceGlobal, a certified Elliott Wave expert from Korea, describes as a “washout” phase. He suggests this phase might set the stage for a significant upward shift, with the ultimate price target possibly reaching between $20 and $30.

In a video released on February 3, XForceGlobal indicated that the recent downturn doesn’t alter his broader analysis. Instead, it seems to push XRP further into what he refers to as an “alternative” macro scenario. Essentially, he views the earlier climb to new highs as a “fakeout,” leading to an extended flat correction intended to shake out late buyers.

“We’ve discussed this before, but there are two points that stand out,” he remarked. “Wave B triggers a misleading spike at the all-time high, while the current wave C also creates a false peak at the previous low in the wave A structure.”

XRP Might Need a Final Dip Before Reaching $30

The core of his analysis hinges on wave C’s measurement insights derived from the pivot points of waves A and B. He emphasizes the importance of the 1.618 Fibonacci extension as a behavioral indicator, highlighting that corrections are often driven by emotional responses rather than just arbitrary price levels. In his view, wave A signifies an initial countertrend move, wave B represents the “overconfidence phase,” and wave C embodies a forced exit driven by stop-loss triggers, shaken beliefs, and liquidation pressures.

“This situation is essentially a trap, resembling a liquidation structure. Wave A constitutes the first countertrend against a larger anticipated trend,” he explained. “Then wave B signifies an overconfident stage, and wave C serves as a reality check for those who purchased during wave B at the peak; many are now finding themselves exiting at local bottoms, either due to stop-loss actions or losing faith in XRP’s overall structure.”

He noted that since wave C is influenced more by emotions than by balance, it is likely to manifest as a five-wave decline instead of a three-wave correction, typically concluding near the 161.8% extension as selling pressure decreases. The key factor, he pointed out, is not merely the asset becoming “cheap,” but rather that sellers lose momentum and the first signs of divergence start to appear.

“The market isn’t going to reverse just because prices dip low,” he cautioned. “The real reversal happens when sellers are exhausted. That’s when we start witnessing bullish divergences.”

XForceGlobal describes a tumultuous “free-for-all” zone where buyers and sellers seem to clash, pinpointing a price range roughly between $1.50 and $1.09. He theorizes that if the extended flat model stands true, this area could transform into a buying opportunity, but only after the five-wave drop has played out and the reversal sequence has been validated.

The broader context is crucial to his perspective. He refers to XRP breaking free from a long-standing triangular formation, followed by a tremendous 500% surge and a correction structure that aligns with what he terms an extended flat setup, as proof of a valid five-wave advance. In other words, the market is experiencing a non-impulsive rebound, a peak in wave B, followed by new lower extremes beneath the previous market structure.

His analysis hints at loftier aspirations for XRP’s price trajectory if the upcoming adjustment phase occurs, leading into what he envisions as a new impulsive cycle following the classic Wave 3, Wave 4, Wave 5 structure. “We’re currently in the third wave, looking ahead to the fourth wave, followed by a potential fifth wave that could drive us towards the $20 to $30 range eventually,” he stated.

Additionally, he identified $6 as a significant level for potential profit-taking, framing it as part of a comprehensive risk management strategy rather than a single price point decision.