This article is also available in Spanish.
XRP is currently consolidating after a sharp 20% rebound from its recent local high of $1.63, which was set last Saturday. Despite the pullback, XRP remains a strong contender in the market as it remains stable above critical demand levels, showing resilience amid broader market volatility. As Bitcoin approaches the psychological level of $100,000, the price structure of XRP continues to indicate upside potential, drawing the attention of traders and investors alike.
Related reading
Cryptocurrency analyst and investor Karl Roenfeldt shared a technical analysis of X, suggesting that XRP could be on the verge of a major breakout. According to Runefelt, if XRP succeeds in breaking the key resistance level in the current price range, the asset may retest its local highs at $1.60 in the coming days, paving the way for another rally.
The overall market awakening has injected optimism into the cryptocurrency space, with XRP positioned to benefit from the momentum. However, maintaining strength above the current demand zone is crucial for XRP to maintain its upward trajectory. Investors are closely watching confirmation of the breakout, as XRP’s ability to reclaim recent highs could signal the start of a larger uptrend in the coming weeks.
XRP looks ready to follow
XRP appears poised for another bullish rally, with technical indicators and market sentiment aligned to point to continued bullish momentum. As the broader cryptocurrency market shows signs of awakening, it is emerging as an asset that has the potential to record new yearly highs in the current cycle. Analysts and investors are increasingly optimistic, with many eyeing the $2 mark as the first important milestone for XRP bulls.
Cryptocurrency analyst Carl Runefelt recently shared a detailed technical analysis of Xhighlighting the key development in XRP price movement. According to Runefelt, XRP is approaching the breakout point of the falling wedge pattern, a historically bullish structure.
If this breakout materializes, XRP could initially target its recent local high of $1.60. A break above this supply zone would signal strong buying momentum, paving the way for XRP to target new cycle highs and possibly surpass the $2 resistance level.
However, XRP’s journey to new highs is not without risks. If the asset fails to break the $1.60 level, further consolidation may occur below this price, delaying its upward trajectory. Such a scenario would likely see XRP retest key demand areas before attempting another breakout.
Related reading
As the market collectively heads towards higher valuations, XRP’s performance remains closely tied to its ability to break through critical resistance levels. A successful break above $1.60 will not only validate the current bullish setup, but will also boost confidence in XRP’s ability to lead the altcoin rally this cycle.
Technical analysis and key levels
XRP is currently trading at $1.43, showing remarkable resilience after a 200% rally from the November 5 lows. While the price has rebounded 20% from the local high of $1.63, the bullish structure for XRP remains intact as the broader cryptocurrency market prepares for another potential rally. Analysts and investors are optimistic that the price can maintain its momentum, provided that key support levels hold.
The $1.27 mark is emerging as a critical demand area for XRP, maintaining the short-term bullish structure that has driven its recent growth. If XRP succeeds in defending this level, the price is expected to consolidate before making another attempt to surpass the $1.60 resistance level. A break above this key level could open the door to further upside, pushing XRP closer to its next major milestones in this cycle.
Related reading
However, failure to hold above $1.27 may change market sentiment and lead to deeper corrections. This would challenge XRP’s bullish momentum and possibly test lower support levels, delaying its upward trajectory.
As the market looks set to continue, XRP’s ability to stay above critical demand areas will determine its performance in the coming weeks. Investors are watching these levels closely as assets look for another rally.
Featured image by Dall-E, chart from TradingView