XRP traders are watching a developing triple bottom pattern that could signal the end of the asset’s extended consolidation phase. TradingView data shows XRP trading near $1.51 as analysts monitor whether the cryptocurrency can reclaim key resistance levels.
As the asset price has held above the psychological $1.50 resistance level, this area could act as a possible short-term support level.
Source: TradingView
Analyst Identifies Multi-Cycle Triple-Bottom Structure
In a recent post on X, EGRAG Crypto noted that the long-term view of XRP appears to be establishing a multi-cycle triple bottom pattern. Such a structure typically precedes a significant upward price movement in technical analysis.
The analyst pointed out that the pattern consists of three large base formations developed over several months. Based upon the analysis, the current market phase represents the final decline phase of an ABC corrective structure.
As such, it appears likely that XRP may be nearing the end of the long-term consolidation phase. EGRAG Crypto has identified the $0.91 level as a critical confluence support zone based on a number of technical elements.
This includes the 0.618 Fibonacci retracement level, historical structural demand areas, and what appears to be the last leg of the corrective structure. Based upon this, the analyst stated that a move into this region may represent the final round of liquidation prior to the beginning of the next broad macro expansion phase.
Source: X
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A Key Bullish Confirmation Zone
The development of the triple bottom pattern is still early in its development. The first major indication of a confirmed bullish reversal would be if XRP breaks back through the $1.65 resistance level on the weekly timeframe.
Analyst EGRAG Crypto noted that if the asset price breaks above this level, it would eliminate the XRP corrective structure. This has defined XRP’s price movement over the past few months.
If this breakout occurs, the analyst believes that it would signify that the triple bottom pattern had reached completion. This would open the door for a potential macro trend reversal to higher Fibonacci extension targets. Such a move would be consistent with the larger market cycle structure illustrated in the chart analysis.
Important XRP Price Levels
In addition to the chart analysis provided earlier, other indicators on the TradingView chart support the key XRP price levels. Historically, the 200- day exponential moving average (EMA) has served as a dynamic resistance level for this asset during its recent downward trend.
With the XRP price currently trading above the $1.50 resistance level, the 200-day EMA may become a dynamic support level. Traders pay close attention to this type of development to confirm that a reversal of a larger trend is occurring.
Source: TradingView
Additionally, there is evidence that the RSI is displaying significant short-term momentum. The RSI is currently trading at approximately 75, indicating that the short-term buying pressure is strong.
Currently, its trading volume is approximately 36 million XRP, with increases during recent price movements. The increase in volume may support the idea of a stronger breakout.
This article contains market analysis and price predictions. These are not guarantees. Crypto markets are volatile. Always DYOR. Not financial advice.
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