Ripple (XRP) Bulls Are Celebrated Too Soon: Analysts Expect Another Painful Drop

The bearish divergence of the RSI supports analysts’ calls to take XRP back to $2.05.

The market may have gotten ahead of itself after headlines about the Ripple-Mastercard partnership. Experts have now warned that XRP’s correction remains incomplete despite its brief spike near $2.45.

In fact, data points to another flush lower before a real relief rally takes place.

XRP’s Double Bottom Configuration

According to crypto market analyst CasiTrades, the brief upward move only pushed the asset to the outer limits of where subwave 4 could extend, and the immediate rejection from that level further confirmed its continued count. She found that all candle closes remained below the previous Wave 1 low, preserving the structure and keeping the plan intact.

CasiTrades repeated that the Wave 3 low at $2.05 is still not sufficiently tested, and expect the price to return to that region, which also aligns with the Fibonacci macro 0.5 retrace level.

In such a scenario, a final subwave 5 to $2.05 should complete the Wave 3 structure, after which a larger Wave 4 retracement to around $2.36 is expected, followed by a final Wave 5 lower. The analyst said this could form a double-bottom support test, resulting in a cleaner exit from the correction phase.

For now, XRP could target the $2.05 region, while the alternative path, which would send the price deeper towards the 0.618 retracement, is still technically valid but becomes less likely as more subwaves appear. Furthermore, the RSI also appears to be adjusting to XRP’s return to the $2.05 level.

XRP lost its Mastercard rally almost immediately

Ripple’s latest move toward regulated card settlement rails provided a brief sentiment boost this week, but the price chart now shows the asset has lost these gains. Ripple announced Wednesday at its Swell 2025 event that it is partnering with Mastercard, WebBank and Gemini to pilot using its RLUSD stablecoin to settle fiat credit card transactions over a public blockchain.

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In the pilot, WebBank, which happens to be the issuer of the Gemini Credit Card, will explore routing Mastercard settlement flows through RLUSD on the XRP Ledger (XRPL), which would be one of the first examples of a US-chartered bank settling card payments using a regulated USD stablecoin on a public chain.

The news initially caused XRP to rise slightly on November 6, but things have since reversed. At the time of writing, XRP is trading at $2.18, down about 5% in the last 24 hours.