XRP Price Analysis: Bullish Momentum Signals Potential Rally to $4
XRP is currently trading at $2.33, marking a 250% surge in recent weeks with a market capitalization of $121 billion and a dominance ratio of 3.2%, reflecting its robust performance in the cryptocurrency market.
Key Levels:
- Resistance: $2.46
- Support: $2.09
- Target: $4 (on a potential breakout)
The formation of a bullish flag pattern indicates that XRP may extend its rally, signaling further upward potential.
XRP’s Market Performance and Outlook
Despite broader market corrections, Ripple has demonstrated resilience, consolidating before potentially breaking out again. Crypto analyst Ali has pointed to the bullish flag pattern as a sign of further gains, potentially propelling XRP toward the $4 level.
However, the TD Sequential indicator on the 4-hour chart has flashed a sell signal, hinting at a possible short-term correction. To sustain its bullish momentum, XRP needs to overcome the key $2.46 resistance level. A successful breakout could unlock the path to $4, offering significant rewards for holders.
Conversely, if XRP fails to hold the $2.09 support, it could face short-term retracements.
Technical Indicators
- Relative Strength Index (RSI):
- Current RSI: 75.15 (overbought, suggesting potential corrections or profit-taking).
- RSI average: 62.60, highlighting strong overall momentum.
- Moving Averages:
-
- 9-day MA: $2.39
- 21-day MA: $2.09
- A crossover between these averages supports the continuation of the bullish trend, aligning with the flag pattern.
What’s Next for XRP?
If XRP breaks above the $2.46 resistance, it could quickly move toward the $4 milestone. However, a rejection at this level may lead to increased volatility or a pullback.
Traders should remain cautious and monitor market sentiment closely. A clear breakout above $2.46 would likely boost investor confidence, while failure to hold support at $2.09 might signal temporary downward pressure. 
