XRP Price Analysis: XPR Holds Steady In The Equilibrium Zone, Preparing For Another Breakout?

Price action in the past 24 hours has seen XRP break below the $3 mark again. XRP initially managed to cross above the $3 mark on January 15

XRP price analysis for the past 24 hours reveals that the cryptocurrency has dropped below the $3 mark again. XRP had managed to cross above the $3 mark on January 15, marking a significant achievement by trading above this level for the first time in seven years. However, XRP failed to hold on to this level and fell below it again on the past trading day.

Despite this setback, XRP’s return above the $3 mark once again highlights its potential to sustain above this level, especially after being written off by some crypto analysts for years. Interestingly, an analysis on the TradingView platform suggests that the cryptocurrency may be preparing for another major breakout, not only to reclaim the $3 mark but also to cross $3.5 very soon.

A technical analysis of XRP price action on the 3-hour candlestick chart shows that the cryptocurrency has managed to maintain a stable position within an equilibrium zone, despite the intense volatility observed among cryptocurrencies in the past few days before and after Donald Trump’s inauguration.

According to the analysis, XRP is currently trading within a wedge pattern, which has historically served as a precursor to decisive price movements. Notably, this pattern has been developing since January 16, when the asset reached a peak of $3.38 before beginning a corrective phase. The cryptocurrency has exhibited a progressively tightening range within this wedge, which represents a delicate balance between buying and selling pressures that could break out in either direction.

The consolidation within the wedge pattern appears to be culminating, and the analyst highlighted this as a key indication of XRP’s readiness to begin its next leg up. As such, the analyst predicted that the next move would be a bullish return above the $3 mark, with a specific target at $3.5 before any further correction.

However, the technical analysis also noted a potential bearish divergence on the weekly RSI. This divergence occurs when the price of an asset moves higher while the RSI indicates decreasing momentum.

While this presents a risk, the analyst expressed optimism that the current wedge pattern and its steady performance could compensate for this bearish signal. Its continued trading within the accumulation zone is another positive indication. If a substantial decline were imminent, it likely would have occurred already. The fact that XRP has held firm in this zone suggests strong support from buyers, with selling pressure being effectively countered by steady buyer interest.

Should the altcoin achieve the projected $3.5 target, it would mark an 18.5% increase from the current price and a breakout above its previous all-time high of $3.40. However, this could be considered a short-term price target. Long-term projections for XRP are much higher, with targets ranging from $7 to as high as $20.