XRP Price Prediction Dec. 4: Will XRP Smash the $3 Barrier and Soar to $5 by Year-End?

XRP has meandered into a consolidation phase, currently trading around $2.6 after a failed attempt to breach the crucial $3 resistance. Recent market activity saw XRP price rally to $2.9 before retreating, resulting in a 7.91% drop. Since then, it has stabilized within a narrow range of $2.4 to $2.6. This performance leaves traders debating whether XRP can break through the $3 barrier or continue consolidating.

Market analyst Dom highlights significant sell and buy walls shaping XRP’s price action. These insights shed light on potential movements for cryptocurrency in the days ahead.

Resistance at $3: Going Headlong 

XRP faces firm resistance at the $3 level due to massive sell walls on major exchanges such as Binance and Coinbase.

Binance alone holds 34 million XRP in sell orders between $2.8 and $3.5, while Coinbase adds another 16 million. Combined, these orders create a staggering 50 million XRP hurdle that XRP must overcome to advance beyond $3.

This volume of sell orders suggests that many traders anticipate significant resistance, making a breakthrough unlikely without a surge in buying momentum.

Fueling the fire, geopolitical tensions in South Korea, where martial law has disrupted trading activities, have also hit XRP’s market posture. Analysts believe that once these geopolitical uncertainties calm down, XRP could regain its upward journey.

Strong Support Levels Cushioning XRP

While resistance looms at $3, XRP enjoys solid support at lower levels:

Binance has 10 million XRP in buy walls between $1.9 and $2.3, complemented by 4.3 million XRP on Coinbase. This totals 14.3 million XRP in buy walls, providing a safety net against further declines.

These buy walls signal strong demand at lower price levels, which could limit XRP’s downside risks.

Expert Weigh In: What Lies Ahead?

Market experts remain cautiously optimistic about XRP’s trajectory.

Per Dom’s analysis, XRP’s current range of $2.4 to $2.6 could set the stage for future rallies. However, breaking past $3 will require substantial buying pressure and heightened market activity.

Further, in Miles Deutscher’s view, highlighting XRP’s 10-year chart, Deutscher describes it as one of the strongest in crypto, characterized by dramatic spikes and long consolidation periods. He expresses hope for a rally reminiscent of 2021’s surge rather than 2018’s decline.

On the other hand, Raoul Pal notes that XRP has historically surged after similar patterns, leaving room for potential growth. Despite uncertainties, he believes XRP could follow its previous bullish trends.

Thus, experts generally agree that XRP is unlikely to fall below $2, but the path to $3 remains uncertain.

But, Could XRP Reach $5?

The possibility of XRP price hitting $5 has captured market attention, fueled by favourable technical indicators and improved market sentiment.

Analysts using the Elliott Wave Theory believe XRP is in the “third wave,” a phase historically associated with sharp price increases. This theory predicts a possible jump to $5.80 as the year wraps up.

Ripple’s legal victories against the SEC have swelled investor confidence, with growing speculation about the approval of an XRP Exchange-Traded Fund (ETF). If approved, an ETF could attract institutional investors and significantly increase demand.

🚨Breaking News: Under Pressure from Trump, SEC Schedules Emergency Meeting on Ripple (#XRP) Settlement Before Gary Gensler's Resignation—Deal Expected Within Weeks! #XRPHolders #XRPCommunity pic.twitter.com/ImTe6F0YKn

— Brett (@Brett_Crypto_X) November 21, 2024

Against all odds, XRP’s real-world use case for faster, cheaper cross-border payments offers a solid foundation. With backing from financial giants like Santander and Bank of America, XRP continues to dominate headlines and intrigue investors.

While a $5 price target remains speculative, XRP’s resilience and growing adoption suggest it could achieve massive gains in the future. However, the crypto market’s inherent unpredictability means any major development could sway prices dramatically. For now, the $3 barrier remains the critical threshold for XRP’s next big move.