XRP has shown unusual price action, emerging as the broader cryptocurrency market faces strong declines. Despite the widespread downturn, XRP has managed to hold above critical demand levels, indicating relative strength in the face of uncertainty. This flexibility has piqued the interest of analysts and investors, who are beginning to see the potential for a big move in the coming weeks.
Lead analyst CrediBull shared a detailed technical analysis of X, highlighting the current trajectory of XRP. According to CrediBull, while the price may fall a bit in the short term, this move could serve as a precursor to the next big rally above the all-time highs. This perspective is in line with growing optimism among traders who view it as an altcoin well-positioned to breakout once the market stabilizes.
As it continues to navigate this pivotal phase, its ability to hold above key support levels will be crucial in determining its near-term direction. The coming days will likely determine whether XRP’s relative strength will translate into a rally or whether it will succumb to further pressure. For now, the altcoin remains a focal point in the market, with many closely watching its next move.
XRP is preparing for price discovery
Since November 5, when President-elect Donald Trump won the election, XRP has emerged as a market leader, capturing investor interest with its resilience and bullish price movement. The altcoin has received attention not only for its performance but also for its perceived alignment with the expectations of the new administration, which has enhanced its appeal among market participants.
Creditpool Senior Analysts Share compelling technical analysis on Xhighlighting XRP’s recent movements. According to CrediBull, XRP exploited a buy zone set at $2.20 (identified as the orange zone) during the recent market decline. This critical level represents a key area of demand that can serve as a launching pad for the next significant move.
CrediBull acknowledges the possibility of price revisiting this area or pushing a little deeper into it but stresses that the market is approaching a pivotal moment. “We’ll know soon enough,” he says, pointing to the possibility of XRP entering price discovery in the event of a bullish breakout.
With the price holding above key levels and strengthening, the market is preparing for what could be a massive rally. If XRP can overcome these crucial hurdles, the next move higher could push the altcoin into uncharted territory, signaling the beginning of a new chapter in market performance.
Price is fixed: testing moving averages
XRP is currently trading at $2.30, testing the critical 200 hourly moving average, a level that often acts as a strong indicator of trend direction. Earlier, the price successfully rebounded from the 200 Exponential Moving Average (EMA), indicating short-term strength and establishing a strong demand zone in the $2.20 range.
This bounce has provided some optimism for the bulls, as it indicates that the altcoin is trying to build a foundation for a potential upward move. However, to gain significant momentum and enter a clear upward trajectory, the price must reclaim the $2.50 mark. A break above this level will likely act as a catalyst for a significant rally, bringing it into price discovery and making new highs.
Market sentiment around the price remains cautiously optimistic, especially as it shows relative strength compared to the broader market decline. If the bulls can maintain the momentum and push the price beyond the $2.50 level, it could spark a wave of buying interest, reinforcing its bullish structure.
However, failure to maintain current levels may lead to further consolidation, delaying the expected breakout. The coming days will be crucial as XRP approaches this pivotal juncture in price action.
Featured image by Dall-E, chart from TradingView