XRP has been trading below a descending resistance line since late September, with technical signals now hinting at a potential breakout. Cryptocurrency analyst Steph Is Crypto, known for his technical analysis shared on social media, stated that the current price action is the first meaningful attempt to push above this key trend line since its formation.
Analyst identifies critical levels for confirmation
In a recent video to his audience, Steph Is Crypto emphasized the importance of examining the daily candlestick close rather than focusing on intraday wicks. He explained that a daily close above $1.31, with a preference for $1.32, would provide early confirmation of a trend reversal and suggest the start of a sustained move upward.
Most market players might not notice the significance of this moment, but a daily close above $1.31 or $1.32 could signal a major change for $XRP.
The use of a candlestick close chart, instead of the more commonly viewed wick-heavy chart, was cited as a clearer method to identify genuine breakout signals for XRP. Steph Is Crypto argued that this distinction helps remove noise and gives a more accurate picture of bullish momentum.
Technical momentum: MACD cross points to a possible rally
Adding to the technical setup, a bullish MACD cross appears to be developing on the daily timeframe. The analyst noted that the blue MACD line is close to crossing above the orange signal line, with confirmation potentially arriving within the next 24 hours.
Steph Is Crypto drew a parallel to the chart pattern from August 18, when a similar MACD cross preceded a sharp rally in XRP’s price. He stated that if a daily close above $1.31 is achieved, a comparable upside move could play out.
Mini dictionary: MACD (Moving Average Convergence Divergence) is a technical indicator used to identify trend direction and momentum, as well as potential buy or sell signals, by comparing two moving averages of a security’s price.
Short-term targets and conditions for continuation
Looking ahead, Steph Is Crypto identified $1.40 as the first significant price target if confirmation is achieved. Surpassing this level could open the path to $1.44 and $1.50 in the near term, provided the breakout maintains strength. Despite current bullish signals, the analyst maintained that without a daily candle close above resistance, the pattern remains unconfirmed.
| Breakout Confirmation Level | First Target | Secondary Targets |
|---|---|---|
| $1.31 – $1.32 daily close | $1.40 | $1.44, $1.50 |
Bullish momentum appears to be building, but it all depends on a decisive daily close above $1.31 for the setup to be validated.
Community urges patience for long-term recovery
While some traders are closely monitoring short-term breakout conditions, others in the XRP community advocate for a more patient approach. X user Crypto4Life commented that the main focus should be on reclaiming and sustaining XRP’s all-time high of $3.84 before considering major price predictions relevant.
Crypto4Life suggested that holders look for accumulation opportunities during deep corrections and recommended storing assets securely, away from centralized exchanges. This sentiment highlights a portion of the community that sees ultimate relevance only in surpassing historical highs and targets such as $5.00 after a clear move above $3.84.
This perspective underscores a division within the XRP investor base between short-term technical traders and long-term holders who prioritize wider price milestones.
Outlook for XRP
XRP’s technical setup is attracting increased attention from traders and analysts. With a critical resistance test underway and momentum indicators turning bullish, sentiment could quickly change if the outlined breakout levels are achieved.
According to Steph Is Crypto, many in the market remain cautious or bearish. Should XRP achieve the necessary confirmation above resistance, the analyst expects a notable shift in market outlook driven by renewed bullish confidence.
