XRP (XRP) has followed the broader crypto market trend by selling off sharply, but the altcoin still holds the bulk of its 300% gains, which it accumulated in the last part of 2024. The altcoin managed to avoid a deeper correction between Jan. 7 and Jan. 9, as it continues to consolidate near its descending trendline, eyeing a potential breakout above the key resistance range between $2.50 and $2.60.

XRP 1-week chart. Source: Cointelegraph/TradingView

XRP price sits in a key decision-making zone

While majors like Bitcoin (BTC), Ether (ETH), and Solana (SOL) threaded to previous swing lows over the past 24 hours, XRP fought to hold a position above $2.30, which is the point of control (POC) for the altcoin since it breached $2 on Dec. 1. A position above POC implies that bulls remain in control of overall price action.

XRP 4-hour chart analysis by Valeriya. Source: Cointelegraph/TradingView

Valeriya, a crypto and forex trader, said that the XRP price is currently in a key decision-making zone. The trader explained that the altcoin’s upward rejection or bounce from the $2.15 to $2.20 level indicates the “intentions of major players.” The trader added,

“If the support zone resists, aggressive growth is expected with the nearest target of $2.91, where the liquidity of sellers is concentrated.”

Additionally, Valeriya mentioned that traders should closely monitor XRP’s price action as the “asset is preparing for a powerful movement.”

Likewise, Daan Crypto, a crypto analyst, said that the altcoin pair “can be great to trade” as XRP has historically respected most of its technical levels. The trader highlighted the formation of a triangle/pennant formation on XRP’s 4-hour chart, suggesting that these types of patterns have a higher probability of breaking upward during bull markets.

Related: Ripple’s RLUSD stablecoin to list ‘imminently’ on more exchanges — Exec

XRP crowd sentiment hints at optimism

Besides a favorable market structure, XRP’s ecosystem has also witnessed a series of positive events that could lure in speculators. Ripple's president recently stated that an XRP spot ETF approval could be coming up “very soon.” Meanwhile, Ripple CEO Brad Garlinghouse recently shared an image with President-elect Donald Trump, which stirred the likelihood of an XRP rally after Trump’s inauguration on Jan. 20.

XRP’s crowd sentiment analysis. Source: Santiment

These factors have improved the crowd sentiment for XRP, as data from Santiment highlighted a rise in the positive sentiment score. It is important to note that the index was much higher during the end of November 2024, but it is currently improving again.

XRP 4-hour chart. Source: Cointelegraph/TradingView

From a technical perspective, XRP has converged within trendlines over the past few weeks, with the price maintaining a position above the 200-day EMA level. With a potential breakout above the descending trendline, the altcoin will likely attempt to clear liquidity levels around $2.42 and $2.50, which may fuel a rally toward a new all-time high above $2.90.

However, a confirmed daily breakout above resistance levels is $2.50, and $2.60 remains critical.

Related: Price analysis 1/8: BTC, ETH, XRP, BNB, SOL, DOGE, ADA, AVAX, SUI, LINK

This article is for general information purposes and is not intended to be and should not be taken as legal or investment advice. The views, thoughts, and opinions expressed here are the author’s alone and do not necessarily reflect or represent the views and opinions of Cointelegraph.

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The Taliban, known for its toxic interpretation of Islamic law and rigid governance, officially banned crypto, labeling it “haram.” But it seems they’ve been quietly dabbling in them too.

In one of the more bizarre twists of Afghanistan’s post-2021 collapse, these guys are reportedly trading memecoins, specifically Shiba Inu (SHIB) and Dogecoin (DOGE), proving that hypocrisy and hustle know no bounds.

Afghanistan’s economy has been a disaster since the Taliban took over in August 2021. With $7 billion in central bank reserves frozen by the U.S. and international sanctions isolating the country, the financial system is a shadow of its former self.

Banks barely function, and liquidity is almost non-existent. Afghans turned to crypto as an alternative, but by 2024, the Taliban banned it outright.

Taliban trades Shiba Inu and Dogecoin while enforcing crypto bans

In the documentary, one Taliban member admitted to profiting from SHIB but complained he lost it all by “buying high and selling low.” Another bragged about his Dogecoin flips.

The Taliban’s social media nickname, “Talibros,” captures this contradiction. While the group cracks down on crypto for ordinary citizens, its members allegedly trade it under the radar. This duality has raised eyebrows globally, exposing the gap between what they preach and what they do.

Afghanistan ranked 20th on Chainalysis’s Crypto Adoption Index in 2021, largely because crypto provided a way for citizens to survive amid the economic collapse.

By press time though, the country’s rank has tanked. The Taliban’s ban destroyed local crypto activity, shutting down exchanges and arresting traders.

Crypto crackdown wrecks Afghanistan’s financial lifeline

In the beginning, cryptos were tolerated because they allowed Afghans to bypass banking restrictions and sanctions. Families used crypto wallets to receive remittances, while local apps like HesabPay flourished.

This stopped once the Taliban decided crypto was apparently out of step with Islamic finance principles, though there is nothing anywhere that proves that and the claim itself makes no sense.

In mid-2024, the Taliban shut down at least 16 exchanges in the Herat province, arresting operators and confiscating funds. Traders were labeled criminals, and the government insisted crypto trading was forbidden.

Officials claimed cryptocurrencies facilitated gambling and scams, which they said hurt everyday Afghans. The central bank called crypto “haram,” but critics argue the Taliban’s true motivation was control. Decentralized currencies threaten the Taliban’s grip on Afghanistan’s fragile economy.

As for the citizens, the impact has been brutal. All signs point to an even worse economic situation next year. Weirdly enough, the Taliban has also been getting pretty chummy with Russia’s President, Vlad Putin. 

As we reported before, they asked him for an invitation to the October BRICS annual summit he hosted in Kazan. He didn’t, but reports now say he has partnered with them to “fight against terrorism.” Ironically, Putin has also removed them from his country’s list of terrorists.

Some economists believe the Taliban might even try to get Afghanistan to join the BRICS, even if it is as a partner country. It remains to be seen how India, and specifically China and will would react to that. Russia seems down though.

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