XRP Mirrors Bitcoin’s Bull Signal From $100K Breakout

Technical market outlook by Omkar Godbole, analysis rewritten for SEO and clarity.

XRP is currently showing signs of resilience, showcasing a pattern that resembles the bullish divergence witnessed in Bitcoin prior to its monumental climb past $100,000. Traders are watching XRP closely, noting how its price behavior continues to display strength despite traditionally bearish technical indicators. This kind of divergence can sometimes signal a brewing uptrend, much like what happened with BTC in 2024.

The payments-focused digital asset developed by Ripple is showing a curious case of divergence on technical charts. Despite bearish implications from the weekly Moving Average Convergence Divergence (MACD) histogram, XRP has managed to hold its price within a relatively stable range, suggesting that underlying investor confidence may be building up for a potential breakout.

XRP Resists Bearish MACD Momentum

The MACD histogram, a key trend-following indicator based on exponential moving averages (EMAs), is instrumental in identifying momentum in price movements. When MACD bars flip from red (negative) to green (positive), it typically indicates bullish momentum and a rising trend. Conversely, multiple declining bars below the zero line signal intensifying bearish pressure.

XRP’s MACD indicator turned downward in early March, suggesting a new downtrend phase. However, this hasn’t led to a clear decline in the asset’s price. Instead, XRP has oscillated between $2 and $2.60, with short-lived price dips below $2 that quickly reversed. This price behavior deviates from traditional expectations based on MACD signals, representing a divergence between indicator and price action.

This type of prolonged divergence often foreshadows a significant market move. Historically, it has signaled that sellers are being overpowered by persistent buying interest. Additionally, XRP’s technical foundation is bolstered by its rising 50-, 100-, and 200-week Simple Moving Averages (SMA), which further reinforces the bullish long-term setup.

In technical analysis, when prices remain steady or edge higher despite a deteriorating MACD, it implies that smart money may be positioning for an upward breakout. The resilience XRP has shown despite the MACD’s bearish tones could be a precursor to such a breakout, as seen in other assets before sharp rallies.

Bitcoin’s 2024 Divergence Offers a Precedent

Bitcoin demonstrated a comparable pattern in 2024. Throughout the summer months, Bitcoin’s MACD histogram maintained a bearish tone, even as BTC traded sideways with brief dips below $60,000. During this period, sentiment was subdued, yet there was no significant price collapse — a sign of hidden strength.

CoinDesk highlighted this BTC divergence in mid-September 2024 while Bitcoin was being traded around $59,000. Within weeks, BTC surged past the $70,000 mark and continued to rally until it achieved a new all-time high above $100,000 by November. This dramatic movement validated the idea that divergence—especially when paired with stable technical support levels—can foreshadow explosive trading opportunities.

Market watchers are now speculating whether XRP is on the brink of a similar breakout. The structural similarities in MACD divergence between BTC’s 2024 trajectory and XRP’s current setup are difficult to ignore, especially when other macro factors such as rising institutional interest and Ripple’s ongoing development narrative remain supportive of the token.

While technical divergence alone doesn’t guarantee a price rally, the conditions currently surrounding XRP hint at the potential for a timely rebound. This situation continues to draw attention from traders keen on identifying the next major crypto uptrend.

If XRP continues to mirror BTC’s consolidation-before-breakout behavior, investors could be witnessing the early stages of a substantial bullish move. Whether or not it will result in gains comparable to Bitcoin’s surge remains to be seen, but the groundwork is undoubtedly in place.

Related: Expert Advice: Sell XRP If You’re Confused

For now, XRP is defying the odds, with technical indicators pointing one way while price action stubbornly holds its ground. This divergence may very well be the quiet before the storm—a possible turning point toward a broader rally.