After weeks of sideways movement, XRP is showing signs of activity again. Recent events suggest a potential shift in momentum.
USDT Pair Analysis
On the daily chart, XRP has bounced strongly after sweeping the sell-side liquidity below the $2 level. This surge was backed by a strong bullish engulfing candle, indicating aggressive buying interest from that zone. The price has reclaimed the 100-day moving average and is currently testing the 200-day MA and the descending resistance at about $2.40. A clean breakout above this zone could open the door towards the $3 resistance area, and potentially lead to a rally toward the major supply area near $4. However, failure to break this structure could result in another retracement back to the $1.60 demand zone.
BTC Pair Analysis
The XRP/BTC pair is still trading inside the descending wedge and hasn’t confirmed a breakout yet. The pair hovers just beneath the wedge’s upper boundary and the key resistance zone at 2100 SAT. Despite several attempts to push higher, it has failed to break and close above this confluence. Until that happens, the downtrend structure remains intact. If a rejection occurs, we could see another drop toward the lower boundary near 1800 SAT. Moreover, the RSI at the neutral level of 50 signals indecision, making a confirmed breakout or rejection crucial for the next move.
Conclusions and Recommendations
XRP demonstrates signs of a potential trend change following a prolonged period of inactivity with specific liquidity concerns. However, in the presence of existing resistances, it is essential to closely monitor key levels and price movements to avoid unnecessary losses.
Overall, the current XRP situation requires careful observation. A breakout from key levels could lead to a new bullish trend or result in reverse movement.
