Ripple's XRP is currently experiencing consolidation on the larger time frame, with no significant price correction. Instead, the market is moving sideways, suggesting a consolidation phase within an overall upward trend. As of now, XRP is down over 2% and is priced at $2.17.
Bullish Trend Still Intact
Despite the current sideways movement, the overall trend for XRP remains bullish. The price action appears to be a temporary pullback rather than the beginning of a downtrend. If the price continues to rise, it may test its all-time high of around $3.25 to $3.30, which coincides with a key Fibonacci level.
Above 2021 High
A critical observation is that XRP is staying above its 2021 high of $1.96, signaling strong market performance. Maintaining this level is essential for XRP's continued upward momentum, and as long as it stays above this point, the market outlook remains positive.
Short-Term Pattern: Triangle Formation
On shorter time frames, XRP is forming a triangle pattern. While these patterns can lead to breakouts in either direction, they are often unreliable and fragile. Therefore, there is a chance of short-term bearish movement, but the price could also break upwards.
Important Levels for Risk Management
Traders should monitor the support and resistance levels within the triangle. XRP must hold above the $1.95 support level to preserve the triangle pattern. If the price falls below this level, the likelihood of a bearish move increases, and the triangle pattern could be invalidated. If XRP stays above $1.95, the consolidation pattern is expected to continue. However, if the price drops below this level, more significant pullbacks could occur, with potential support zones around $1.80 to $1.39.$XRP