XRP Bulls Face Resistance Despite Recent Momentum

XRP is facing a crucial technical challenge despite seeing a notable uptick in recent trading activity. The payments-oriented cryptocurrency experienced an 11% jump this past Thursday, sparking fresh hopes among bullish investors. However, technical indicators suggest that XRP still has hurdles to overcome before confirming a sustained upward breakout.

XRP’s Current Position: Momentum Meets Resistance

The impressive rally was interpreted by some as a breakout from the bull flag pattern, a bullish formation that often precedes continued gains. Still, XRP’s price remains under the critical resistance level at $3.65. This level is significant because it marked a bearish ‘tweezer top’ reversal pattern last month, a formation that hints at strong selling pressure and investor hesitation around that price.

A tweezer top appears when two successive candlesticks share the same high, signaling that buyers hit a ceiling during two separate attempts at higher ground. In XRP’s case, this ceiling at $3.65 could continue to pose stiff resistance unless bulls can generate enough volume and momentum to invalidate the bearish signal.

Adding further complexity to the outlook is XRP’s on-chain data. Analysis from research firm Alphractal indicates that the Net Unrealized Profit/Loss (NUPL) metric—used to gauge potential selling pressure—remains significantly elevated. These levels were last observed during the major peaks of 2018 and late 2021, historical points where profit-taking often led to downward correction.

This suggests many current holders are sitting on considerable unrealized gains, which could incentivize them to sell, adding more supply to the market and preventing upward movement. According to Alphractal, such conditions usually align with periods of distribution, where assets begin to shift from long-term holders to new buyers at inflated prices.

• Resistance levels: $3.38, $3.65, $4.00
• Support levels: $2.99, $2.72, $2.65

Bitcoin Steady in Consolidation Phase

While XRP grapples with key resistance, Bitcoin (BTC) continues to consolidate within a descending channel—a classic short-term correction inside a broader bullish trend. This “bullish breather” could be preparing BTC for its next leg upward. The support from the 50-day Simple Moving Average suggests resilience and sustained market confidence.

If BTC manages to break above this descending channel, traders may see a new rally toward all-time highs beyond the $123,000 mark. However, failure to sustain upward pressure could lead to a fallback toward $100,000, especially if the price drops below the crucial $111,965 level.

• Resistance levels: $120,000, $122,056, $123,181
• Support levels: $111,965, $104,562, $100,000

Ether Breakout Sparks Renewed Optimism

Meanwhile, Ethereum’s native token, Ether (ETH), has broken free from a long-standing symmetrical triangle pattern, climbing above $4,200 for the first time in four years. This breakout signals a definitive end to the consolidation phase that began following its all-time high in 2021.

Price action of this kind, particularly on long-term charts, typically reflects a new, powerful uptrend and could pave the way for a retest of historic highs above $4,800. With strong technical tailwinds, ETH appears to have entered a new bullish cycle.

Related: XRP Price: $12M Max Pain for Bears

• Resistance levels: $4,400, $4,875, $5,000
• Support levels: $4,000, $3,941, $3,737

In summary, while Ethereum charges ahead and Bitcoin consolidates near bullish levels, XRP faces the dual challenge of technical resistance and potential investor profit-taking. Traders and long-term holders may want to remain cautious until XRP convincingly clears the $3.65 hurdle, providing a more solid base for sustainable growth.