XRP Signals Mixed as Momentum Teeters on Weekly Divergence and Short-Term Range-Bound Trading
XRP is sending a blend of signals this week. On the weekly chart, analysts point to a bearish divergence: the price has been making higher highs while the Relative Strength Index (RSI) prints lower highs. This mismatch suggests momentum could be fading even as prices edge higher.
Historically, this kind of divergence has appeared before sharp moves. The last instance occurred in late 2020 into early 2021, when XRP faced a substantial pullback in the ensuing months. While history doesn’t guarantee future outcomes, the pattern serves as a warning that XRP could slow down or pull back in the weeks and months ahead.
Short-Term Outlook
On the daily chart, XRP is currently moving sideways within a price range of roughly $2.90 to $3.40. The structure bears a striking resemblance to XRP’s action earlier this year in January and February. There haven’t been any new bullish breakout patterns yet. A confirmed move above $3.40 would be needed to suggest a stronger bullish trend.
Until that breakout occurs, expect resistance around $3.35 to $3.40. On the downside, major support sits near $2.90 to $3.00. If that zone yields, the next support levels to watch are around $2.75 and then $2.55 to $2.62.
Immediate Price Action
In the near term, XRP may simply trade sideways after recent volatility. Traders could see the price hover between roughly $3.00 and $3.20 as markets await clearer signals.
Bigger Picture
Across longer timeframes, XRP’s chart hints at potential weakness, while the short-term view remains neutral. Key levels to monitor are: a breakout above $3.40 for bullish confirmation, or a break below $2.90 for signs of a deeper pullback. Until then, XRP may stay trapped in a choppy, range-bound pattern.
Key levels to watch
– Resistance: roughly $3.35–$3.40
– Support: roughly $2.90–$3.00, then $2.75 and $2.55–$2.62
– Break above $3.40 = potential bullish trend continuation
– Break below $2.90 = potential deeper pullback
Additional value and commentary
– Traders should keep an eye on volume alongside price action; a breakout above or below the key levels accompanied by stronger volume could add conviction to the move.
– Given the weekly RSI divergence, risk management is especially important. Consider tightening stops or using position sizing that accounts for potential churn if momentum wanes.
– While a bullish breakout above $3.40 would be a positive signal, the current setup favors a cautious stance until a clear directional move emerges.
Summary
XRP remains in a cautious mode: a bearish divergence on the weekly chart suggests potential momentum slowing, while the daily chart shows a neutral, range-bound setup in the near term. A decisive breakout above $3.40 or a sustained move below $2.90 would be the inflection points to signal the next trend, with the more constructive path opening if buyers regain control above the $3.40 threshold. If such a breakout occurs, there could be renewed optimism about XRP’s trajectory; until then, a patient approach with well-defined risk management is prudent.