XRP is once again in the spotlight as a trusted technical signal suggests a potential bullish reversal may be underway. After a sharp correction following its recent all-time high, the same indicator that predicted XRP’s decline is now signaling a possible price rebound.

TD Sequential Flashes a Bullish Signal

XRP’s dramatic rally in mid-July saw it break away from the $2.20–$2.30 consolidation range and surge past its previous all-time high of $3.40, ultimately reaching a new peak of $3.65. However, this upward momentum was short-lived. By August 3, XRP had dropped below $2.80, marking a significant retracement from its highs.

This downturn was not entirely unexpected. The popular TD Sequential indicator had issued a warning on both 4-hour and 3-day charts, flashing a sell signal just before XRP’s price started to tumble. Traders who followed the metric would have anticipated the pullback well in advance.

Legal Developments Provided Temporary Relief

Despite the correction, XRP saw a brief resurgence after a favorable legal outcome. When the prolonged lawsuit between Ripple and the U.S. Securities and Exchange Commission officially came to a close, investor optimism helped push XRP back above the $3.30 level. However, this uptick was fleeting as broader market pressures kicked in again.

Late last week, as Bitcoin fell below $113,000, XRP also declined to $2.90. This was exacerbated by a massive whale sell-off, which triggered renewed bearish sentiment across the market.

Metric Suggests a New Uptrend Could Be Brewing

XRP has now shed about 20% of its value since its July peak. But there may be hope on the horizon. The same TD Sequential metric that accurately anticipated July’s top has now reversed its stance, issuing a fresh buy signal. Crypto analyst Ali Martinez recently shared that “XRP looks ready to bounce,” hinting that a strong recovery could be imminent.

$XRP looks ready to bounce! After perfectly timing the top, the signal now says BUY. pic.twitter.com/NBbQuXd7RG

— Ali (@ali_charts) August 20, 2025

Technical chart showing recent XRP movements, highlighting support and resistance levels driven by the TD Sequential metric.

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

As XRP continues to respond to market factors and on-chain metrics, traders and investors will be closely watching for confirmation of a new upward trend. Whether this latest signal leads to sustained growth remains to be seen, but historical accuracy gives this indicator significant weight in the crypto community.