XRP Forecast: Will Ripple Break Out or Correct?

XRP is currently navigating a crucial juncture as it nears a primary resistance band, putting Ripple in the spotlight among top cryptocurrencies. As XRP hovers near this decisive threshold, the market closely watches whether it will trigger a breakout or retreat into consolidation.

XRP Technical Overview

Daily Trend Insights

XRP recently pushed above its 100-day moving average, reaching approximately $2.2, and followed that by a successful retest of the same level — a move that often signals bullish resilience. The altcoin now trades within a critical range bounded by the 100-day and 200-day moving averages. It is rapidly approaching a major resistance zone between $2.3 and $2.35.

This resistance zone gains strength due to several overlapping technical signals. The 200-day moving average rests around $2.36, aligned with the upper boundary of a long-standing descending wedge formation. Historically, such confluences act as robust technical walls, stalling bull runs and often catalyzing reversals.

If XRP fails to pierce this resistance zone, it’s likely to face downward pressure, potentially leading to a corrective phase. On the flip side, a clean break above this level could instigate renewed bullish momentum. In that scenario, $2.5 becomes the next psychological barrier and price objective.

Short-Term Price Action

On the 4-hour chart, XRP has been tracking an upward slope, forming a well-defined ascending channel. Recently, the asset found support near $2.2, which coincides with the lower edge of the channel. This quick rebound underscores the presence of buyers eager to defend that level.

Now, XRP is testing the time-tested $2.3 resistance that has historically acted as a ceiling for upward moves. A successful breakout above this marker is critical to shifting the near-term market structure in favor of bulls. However, current price behavior suggests caution. Given past failures at this threshold and the market’s hesitation, a consolidation phase or short-term retracement appears more plausible before any sustained rally ensues.

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

Ripple’s price movement remains captivating for traders and investors alike. As XRP continues to trade within a tight technical zone, its next move will likely set the tone for upcoming sessions. Whether the token can sustain its bullish posture or fall back for a correction remains to be seen. The coming days may prove pivotal as XRP confronts some of its most defining technical levels in recent months.