Analyst Egrag Crypto focuses on the formation of an important technical pattern for XRP that could determine the direction of the cryptocurrency's movement in the coming days.
Technical Picture on the Three-Day Chart
The three-day chart of XRP shows a symmetrical triangle forming, indicative of a price compression period where buyers and sellers find themselves in a temporary stalemate before the next significant move. Analysts point out that the upper edge of this triangle, along with nearby moving averages, sits around the $3.07–$3.13 area. As of report time, XRP is trading at $3.16, bringing it closer to the bullish confirmation zone.
Why the Next 48 Hours Matter
Egrag Crypto’s timing underscores the necessity for a three-day candle to close above the triangle's upper boundary. A close with the body, not just the wick, above $3.07 would indicate that buyers have seized momentum. However, failing to hold that level could lead to a retreat back toward the triangle's lower boundary, where key support and moving averages converge.
Confirmation Signals and Market Risks
Volume acts as a critical filter for distinguishing a true breakout from a false one. A surge in trading volume alongside a candle close above $3.07 would provide the clearest evidence that the move is genuine. Traders keen on defined risk typically monitor the lower trendline of the triangle or the most recent swing lows as their invalidation point. This disciplined approach aids in managing risk should XRP fail to maintain its breakout.
Egrag Crypto’s analysis emphasizes that the upcoming two days are pivotal for XRP. A strong close above $3.07, supported by rising volume, could pave the way for the next sustained rally.
