TLDR
XRP has experienced a 17% drop but shows recovery signs, currently trading at $2.31 with a 3.18% daily gain
Key bullish factors include Trump’s potential 2025 inauguration, Gary Gensler’s expected SEC departure, and possible XRP ETF approval
Technical analysis from certified analyst Tony Severino indicates strong bullish signals, including favorable Bollinger Band positioning
Market experts predict support levels at $2.17-$2.18, with targets of $2.62 and $3.28 ahead
The RLUSD stablecoin launch is expected to drive significant liquidity through the XRP Ledger
The XRP token has shown resilience in recent trading, maintaining its position above $2.30 despite a 17% pullback over the past two days. Current trading data shows the token has rebounded with a 3.18% gain, aligning with broader market movements and Bitcoin’s price action.
Market data indicates XRP’s trading volume remains robust at $21 billion, though this represents a 7% decrease from previous levels. The price action has established a notable support zone between $2.17 and $2.18, which traders are watching closely as a key technical level.
Technical analyst Tony Severino has identified several bullish indicators in XRP’s three-month chart pattern. The most notable is the position of the price relative to the Bollinger Bands, with the three-month candlestick trading above the Bollinger Band basis for the first time since April 2019.
The Relative Strength Index (RSI) on the three-month timeframe has crossed above its moving average and is approaching the 50 level, which traditionally signals increasing buying pressure. This technical development has caught the attention of traders who view it as a potential precursor to further upward movement.
I'm potentially not bullish enough on XRP
The XRPBTC quarterly chart looks to be exceptionally strong
From top to bottom:
3M candlestick is above the Bollinger Band basis for the first time since April 2019. Price touched the upper Bollinger Band. A quarterly close above the… pic.twitter.com/2nhaaMqx2R
— Tony "The Bull" Severino, CMT (@tonythebullBTC) December 18, 2024
Market expert EGRAG Crypto has outlined key price targets, identifying $2.62 as the next resistance level, followed by a potential move toward $3.28. These projections are supported by multiple technical factors, including volume patterns and price action structure.
The introduction of RLUSD, Ripple’s new stablecoin, represents a major development for the XRP ecosystem. Market analysts, including The BitBoy, suggest this addition could drive substantial liquidity through the XRP Ledger, potentially supporting price appreciation.
Futures market data from CoinGlass shows an 11% decline in Open Interest, reflecting some reduction in leveraged positions. This cooling of speculative activity might provide a more stable foundation for future price movement.
Several external factors could influence XRP’s price trajectory in the coming months. The potential change in SEC leadership, with Gary Gensler’s expected departure, has created optimism among market participants who anticipate a more favorable regulatory environment.
The possibility of an XRP ETF approval has generated additional market interest. Bloomberg analysts have suggested that XRP could follow Bitcoin’s path in receiving ETF approval, which could open the door to increased institutional investment.
Trading patterns show consistent buying pressure at support levels, with $2.17 serving as a strong floor during recent pullbacks. Market technician Dark Defender expects price action to remain within a defined range before attempting another push higher.
Ali Martinez’s analysis highlights potential market volatility ahead, noting that $20.5 million in short positions face liquidation if XRP reaches $2.62. This technical setup could fuel rapid price movement if certain levels are breached.
Volume analysis shows healthy market participation, with trading activity concentrated around key support and resistance levels. This pattern typically indicates active price discovery and genuine market interest rather than speculative excess.
The token’s price action has maintained a series of higher lows, suggesting underlying buying pressure remains intact despite recent market volatility. This technical pattern often precedes continued upward movement in traditional market analysis.
Technical indicators such as the Fisher Transform are showing bullish divergence on longer timeframes, supporting the case for sustained price appreciation. This indicator’s movement often precedes major trend changes in crypto markets.
The three-month Logarithmic MACD displays weakening bearish momentum, with early signs of a potential bullish crossover. This technical development has historically preceded extended upward moves in XRP’s price action.
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