The cryptocurrency XRP is about to wake up from its slumber. An extreme tightening of the Bollinger Bands warns analysts: a volatility explosion is brewing.

The Bollinger Bands, which frame price movements, are tightening on the XRP crypto at a rarely seen level. This phenomenon signals upcoming volatility.

Cryptocurrency traders are bracing for a big move in Ripple (XRP) as the Bollinger Bands are showing extreme tightness, which could herald an explosion in volatility.

At the same time, the Relative Strength Index (RSI) is exiting its neutral zone without showing signs of being overbought, while volumes are picking up again on Asian platforms.

This comes as several analysts have noted that whales have been accumulating XRP for several weeks now, and the token is showing surprising stability despite the legal troubles it faced in the past.

While Bitcoin has been grabbing headlines with its rally past the $87,000 level, XRP is forging its own path as it reacts to its own dynamics.

The recent high at $2.12 signals that investors are returning to the asset, but unlike in 2021, XRP is no longer blindly following BTC.

Instead, it is responding to developments such as Ripple's partnerships with Asian banks, expansion in African cross-border payments, and an image that is increasingly decoupled from the SEC disputes.

The macro context is also playing in its favor as the dollar (DXY) hits its lowest point in three years and markets are casting doubt on a swift tightening by the Fed, which bodes well for cryptos.

While bitcoin has become an institutional asset, XRP retains a flexibility that traders are keen to observe.

At the crossroads of fundamentals, technicals, and the macroeconomic climate, XRP is coming into focus. The current calm on its chart is just a prelude. The Bollinger Bands, the quintessential technical indicator, sound the alarm.

The rubber band is stretched. The market will hold its breath a little longer… before breaking. In the meantime, Ethereum is threatened with a crash to $800.