Ripple (XRP) shows signs of bullish movement following a breakout from a descending pattern, which may signal further market changes.
Daily Chart Analysis
XRP successfully broke out of a prolonged descending wedge pattern, indicating a potential bullish trend. This breakout occurred at the $2.36 level, where the wedge’s upper boundary intersected with the 200-day moving average. This event marks a shift in market sentiment and opens up opportunities for further upward movement. However, XRP is facing significant resistance at the previous swing high of $2.47, where considerable selling pressure is likely to manifest.
4-Hour Chart Analysis
On the lower timeframe, XRP decisively broke above the $2.3 resistance, a level that has previously capped the price in recent months. This movement has been accompanied by strong bullish momentum, with the formation of large bullish candles reinforcing the trend. However, XRP is approaching a key supply zone between $2.42 and $2.47, aligning with the previous swing high. This zone might act as a short-term ceiling, potentially causing a pullback.
Conclusions and Predictions
Ripple's behavior around this critical zone will likely determine the next move, either a bullish breakout and continuation toward higher resistance levels, or a rejection and return to lower support zones. Additionally, buy-side liquidity above this area presents an attractive target for smart money.
Ripple (XRP) has shown the potential for growth following a breakout, but upcoming resistance levels may create temporary obstacles for further ascent.
