The price of XRP is inching closer to a potential breakout, with analysts pointing to a series of technical milestones that must be achieved before a move to $3 can be realised. While the cryptocurrency is currently trading just below key resistance, growing momentum and improving indicators are giving hope to bullish investors.
XRP Needs to Break Above Crucial Range
At the time of writing, XRP is trading at $2.26, down just 0.1 per cent over the past 24 hours. Analysts note that for the token to reclaim the $3 level, it must first clear a significant technical barrier in the $2.20 to $2.30 range. This zone includes multiple moving averages: the 50-day simple moving average at $2.22 and the 100-day SMA at $2.20.
However, the most critical resistance remains the 200-day SMA positioned at $2.36. A confirmed break above this level is seen as essential to opening the path for further gains. Historically, flipping the 200-day SMA into support has triggered powerful rallies in XRP. The last time XRP crossed above this line in November 2024, it surged by 430 per cent, reaching a multiyear high of $2.90 by early December.
Analysts Spot Bullish Signals on Daily Chart
Crypto analyst CasiTrades recently shared an optimistic view, stating that XRP is showing “classic bullish continuation signals.” These include multiple higher lows and the reclaiming of support around $2.25. This level is particularly important, as it marks the convergence of the 50-day and 100-day SMAs and the apex of a multimonth trendline.
XRP/USD daily chart.
According to CasiTrades, once XRP breaks above the $2.30 resistance, the next target levels will be $2.69 and $3.04. The current consolidation just below this level is being interpreted as a build-up before a breakout.
Another analyst, posting under the name Dom, echoed these observations. He highlighted XRP’s recent move above a key breakout zone at $2.25, describing it as a convergence point of all major VWAPs, or volume weighted average prices, and a 160-day downtrend line. Dom suggested that this is the moment bulls need to act decisively to push the price into the $2.40 range.
XRP Strengthens Against Bitcoin
Adding to the bullish sentiment, XRP is also showing signs of strength against Bitcoin. The XRP/BTC pair recently broke above a descending trendline at 0.00002065 that had held as resistance since March. This breakout is being viewed as a potential end to the multimonth downtrend.
A successful retest of the trendline could confirm the reversal and set the stage for further gains in the XRP/BTC pair. The momentum is supported by a bullish divergence with the relative strength index, which has climbed to 55 from a low of 28, even as the price formed lower lows between May and July.
This type of divergence is typically interpreted as a sign that selling pressure is weakening, while buyer interest is growing. Traders often use such signals as a cue to accumulate more assets at current levels.
Outperformance Expected to Continue
According to Mikybull Crypto, the XRP/BTC pair needs to clear resistance at 0.000022 to fully confirm the upside. The analyst suggested that a decisive move above this level could lead to a major rally, stating, “Break this trendline resistance and XRP will rally strong.”
XRP/USD daily chart. Source: Dom
Furthermore, a breakout from the ongoing symmetrical triangle pattern in the XRP/BTC chart could generate gains of up to 70 per cent. If realised, this move would also likely drive XRP’s dollar price beyond the $3 threshold.
Momentum Building for Breakout
While challenges remain, the confluence of bullish technical indicators, strengthening fundamentals, and renewed investor interest all point to a potential breakout on the horizon. For now, XRP bulls must hold key support and continue pushing toward the critical $2.36 resistance level. A strong close above that mark could be the signal that the next major leg upward has begun.
