Investors’ attention is increasingly focused on the price of XRP as it hovers around a critical consolidation zone.
Summary
- XRP is trading around $2.42, holding steady after a sharp market decline earlier this month.
- The crossing of the 20-day SMA above the 50-day SMA indicates a possible bullish reversal, although the price remains limited below the key resistance between $2.50 and $2.70.
- Institutional interest and DeFi expansion continue to support sentiment, but traders are awaiting confirmation of a breakout before taking new positions.
XRP is trading at $2.42, up 0.62% over the past 24 hours, but still down 0.83% over the week, according to market data from crypto.news. After the October 10 market crash, the Ripple token lost the strong support level it had held since July, turning the level into resistance.
Recovering from the crash, XRP (XRP) began to consolidate and now forms a symmetrical triangle pattern on the charts. This consolidation shows the uncertainty of the market, but also hints at a possible breakout that could mark the next major trend for the token.
Market confidence around XRP is growing as positive developments continue. One of the world’s largest asset managers, T. Rowe Price, recently presented with the SEC to launch a new crypto ETF that includes XRP among other large-cap assets like Bitcoin (btc) and Ethereum (ETH). The measure is added to the institutional buzz around the token, and its inclusion in these products indicates growing acceptance, giving it more visibility among retail investors.
Adding to this momentum is XRP’s growing footprint in DeFi. He launch of FXRP on Flare Network has made Flare the leading DeFi platform for XRP. More than $86 million worth of wrapped XRP has entered the system, increasing the utility of the token.
With these trends taking hold, Ripple’s next big move could be imminent and could well be a bullish breakout.
XRP Price Outlook: Bullseye Breakout as Momentum Builds
XRP’s short-term momentum is showing signs of rebuilding after weeks of weakness. The recent price stabilization suggests that buyers are starting to regain some control as the token tests key levels near $2.40.
On the bullish side, the 20-day SMA has recently crossed above the 50-day SMA, a signal that is often considered the initial stage of the trend recovery. If
However, the bearish scenario will remain in effect as long as the token does not remain above the short-term averages. A rejection of current levels or a close below $2.30 could trigger another decline towards $2.10, invalidating the bullish structure and signaling a continuation of the broader downtrend.
Momentum indicators are currently neutral, with the Relative Strength Index (RSI) hovering around the midpoint near 49. This suggests that the market is in balance, but whichever side gains volume momentum next will likely dictate the direction of XRP price swings.
