After more than a year of consolidation, Ripple’s native token (XRP) has broken out of a bullish price action pattern and is now poised to gain significant upward momentum. However, this key breakout for XRP comes as U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler hints at his resignation.
XRP Technical Analysis and Upcoming Levels
According to expert technical analysis, XRP is showing bullish momentum as it has broken out of an ascending triangle price action pattern on the weekly timeframe and closed above the neckline at the $0.75 level. Following the breakout and candle close, the market sentiment has completely shifted from a price correction phase to an uptrend.
According to technical analysis and historical price momentum, XRP is expected to rise by 75% to reach the $1.35 level. It has closed above the critical $0.75 level. Before achieving a 75% gain, the asset is likely to face strong resistance around $0.90.
Historically, this level has served as a strong resistance and generated selling pressure when the price approached the $0.90 mark. However, considering the current market sentiment and speculation surrounding Gary Gensler’s resignation, XRP could benefit and potentially break through this important barrier.
As of now, XRP is trading above the 200 Exponential Moving Average (EMA) on the daily timeframe, indicating an uptrend.
On-chain indicators are bullish
On-chain indicators further support XRP’s bullish outlook. XRP’s long/short ratio currently stands at 1.18, its highest level since August 2024, according to on-chain analytics firm Coinglass. A significant increase in this ratio indicates that traders are strongly bullish on the market.
Currently, 54% of the top traders hold long positions, while 46% hold short positions. In addition, XRP's open interest has also experienced a sharp surge. Data shows that the asset's open interest has surged 24% in the past 24 hours and 12% in the past 4 hours.
Current Price Momentum
At press time, XRP is trading near $0.80, with prices up more than 18% over the past 24 hours. During the same period, the asset’s trading volume jumped 35%, indicating increased participation from traders and investors following the bullish breakout.
