XRP Market Tension: Will Support Near $1.88 Spark Wave 3 Rally?

• XRP is defending key support near $1.88–$1.90 while pressure builds toward $2.00.
• Short-term weakness could still test $1.73 or $1.64 before a stronger recovery.
• Larger cycle targets remain $3 in early 2026, with higher long-term levels at $7 and $9.

XRP price action has narrowed into a critical zone as traders focus on whether the market can reclaim strength before the year ends.

Attention has shifted back to short-term support and resistance levels, with momentum clearly tied to Bitcoin’s next move. Recent price behavior shows XRP reacting closely to Fibonacci levels, signaling that the current pullback may still be incomplete.

Also Read: XRP Targets $10 as AMINA Bank Integrates Ripple Payment System in Europe

XRP Holds Key Support as $2.00 Comes Into Focus

Analyst TARA also highlighted that XRP just bounced from its short-term support at 0.5, at $1.90. This is only a midpoint in the bigger retracement and not yet at its lower point.

XRP has already tested its Fibonacci resistance at 0.382, while Bitcoin is yet to test anything similar. This might propel XRP even higher towards its resistance at 0.5 at approximately $2.00.

The $2.00 level is now considered a strong barrier. If a clean break above is made, this will be a sign that strength is on the rise, and if not, a drop to the support region at $1.88 could be expected.

This support region has shown its strength before and may be retested if demand is surprised. Looking at the overall wave structure for TARA, it is not a bad sign if support is continually retested.

On a larger scale, XRP has already doubled in this cycle. Given this fact, bigger drops or new lower levels are not required. On the contrary, prices may continue with smaller movements until sufficient momentum is gained for the next leg up.

Looking forward, outlooks on the remainder of this year remain at $2.30, with a move towards $3 in early 2026. On a full cycle basis, targets are much higher at $7 and $9.

Downside Risk Still Present Before a Stronger Reversal

Expert CasiTrades was a little more conservative in the short term, as XRP was unable to remain above $2.00 over the weekend. This reinforces that a downside direction is expected, with a lower subwave.

The strength of momentum and RSI indicators is in overbought conditions, a common sign within a corrective phase.

The critical levels to focus on are $1.73 for a temporary pause, then $1.64, which corresponds to the macro-level Fibonacci support line of 0.618.

The area close to $1.64 is considered the most likely final level for the correction. It is possible that XRP will immediately go towards the price of $1.64 without a temporary correction.

If it reacts sharply at or around $1.64, it could soon open up the way back up towards $2.41-$3.00. Models predicting timing show it may make its decision by Friday, Dec. 19th, before the holidays.

Also Read: XRP’s Shocking Wall Street Upgrade With CME Futures Launch