The recent rise of XRP has brought it to a critical resistance zone near the $2.50 mark. However, low trading volume raises concerns about the strength of this move.
Key Technical Points
The $2.50 level is crucial due to the convergence of several indicators: the 0.618 Fibonacci retracement, the Volume Weighted Average Price (VWAP), and the Point of Control in the current trading range. This creates a significant resistance cluster that could be psychologically relevant if momentum does not shift.
Previously Recorded False Signals
Previously, XRP demonstrated a false breakout above the range high, closing multiple candles above resistance only to be pulled back inside the range, which is a textbook deviation. A similar behavior may be forming on the support side.
Expectations for Further Price Movement
Currently, this downside deviation has not materialized, but if resistance at $2.50 continues to hold, this could increase the probability of such a setup. A clear rejection could send XRP back to the channel’s lower bounds, potentially offering another opportunity for bulls.
Until XRP breaks above $2.50 with strong volume and confirmation, this region remains a significant barrier. A rejection here could push prices back toward support.
