XRP Has Been Following the Expected Path

XRP has been following the expected path we outlined in yesterday's analysis —a temporary reaction at the demand zones, enough to lure in retail traders

XRP price has been following the expected path that we highlighted in yesterday’s analysis—a temporary reaction at the demand zones, enough to lure in retail traders, before a deeper move down.

However, the key question remains: Has XRP taken all the liquidity yet? Or can we expect one final sweep before the rally begins?

Let’s break down the latest XRP analysis, looking at the key levels, liquidity zones, and what might come next.

XRP Analysis: Liquidity and Fake Support?

As we mentioned yesterday, XRP has been showing some reaction at the same level, creating the illusion of a strong support zone.

However, it’s important to note that this kind of price action usually ends with a breakdown, especially when there’s untouched liquidity resting below.

This is a crucial point to consider, as it could decide the next move for XRP.

Why does this matter?

If we look at the bigger picture, we can see that the price has already reacted to this demand zone, offering traders an opportunity to enter short trades.

Key Observation: As the price moves down, liquidity is also forming above, which could be a crucial clue. If XRP breaks lower first, the demand zone below could deliver a strong bounce.

XRP Price Prediction: Two Scenarios for the Next Move

We have highlighted two possible scenarios for the next move in XRP price.

Bearish Scenario:

The first scenario is bearish and suggests that if the sellers push lower first, we can expect a strong rally from the buyers as they defend the Fib level. This scenario could lead to a large move up, with the next resistance at the 0.7 Fib.

If the sellers manage to break below this level, we might see a deeper test of the demand zone at 0.5 Fib. However, this scenario is less likely at the moment.

This scenario is already unfolding, and we can expect some volatility as the liquidity gets absorbed.

Bullish Scenario:

The second scenario is bullish and suggests that if the buyers break higher first, we can expect some selling pressure at the Fib level as the sellers try to regain control.

This scenario could lead to a deeper pullback, with the next support at the 0.5 Fib level.

This scenario is less likely at the moment, but it’s something to keep in mind.

So, is this the bottom? Not just yet. We need confirmation before we can call a reversal.

Final Thoughts: When Will XRP Move?

At this stage, patience is key. The liquidity grab hasn’t fully played out yet, meaning that we can still expect a deeper test of the demand zone. But once XRP clears that liquidity, we can expect fireworks.

For traders, this is a classic wait-and-watch moment—let the market reveal its hand. Will XRP drop first to fuel a bigger move up? Or is a breakout already in motion?

Stay tuned for the next XRP analysis, because things are about to get interesting.