- XRP price surged nearly 20%, hitting a resistance level at $1.65.
- A 10% pullback that allows the buyers to recuperate seems likely before the next leg begins.
- Slicing through the supply barrier at $1.76 is crucial for Ripple to achieve $2.
XRP price has seen an explosive rally in the last week of April, and a similar turn of events is set to occur in the first week of May.
XRP price stays on track
On the 4-hour chart, XRP price shows that it has risen to pre-crash levels. At the time of writing, Ripple is trading at $1.61, indicating its intention of retracing lower after its recent upswing.
The retracement could range from $1.52, a 6% decline from the current price, to $1.42, which denotes a much steeper correction of 11%.
Hence, investors need to pay close attention to this area of interest.
Such a pullback would allow the buyers to accumulate the remittance token at a discount for the next leg, which could extend up to $2.
While the 22% upswing to $2 from the current price is plausible, market participants need to be aware of the supply barrier at $1.76, which could deter this upswing or halt it.
Clearing this resistance level would provide Ripple with a clear path to achieving new yearly highs.
XRP/USDT 4-hour chart
On the flip side, if the pullback extends beyond the 50% Fibonacci retracement level at $1.31, it would invalidate the bullish thesis. In such a condition, the comeback for bulls would be arduous and might result in an 11% correction to $1.16.