Strong support retest and consolidation hint at potential next leg higher
XRP is showing renewed bullish momentum after a strong breakout from a multi-month falling channel pattern, with price now consolidating above key support zones. Technical signals suggest that a push toward the $4 level could be on the horizon if current momentum holds.
The breakout began in mid-July, when XRP surged from the $2.60 support zone (marked in orange) and broke above the channel resistance, confirming a major trend shift. The rally extended past the $2.85–$3.00 demand zone (green area), which has since acted as a solid retest support during recent consolidation.
Price is now testing resistance in the $3.35–$3.50 supply zone (first red area), with a secondary key resistance near $3.65–$3.80. A sustained breakout above these levels could open the door to the $4 psychological target, which aligns with the measured move projection from the earlier breakout.
“The breakout from the descending channel, coupled with healthy retests of support, is a textbook bullish continuation setup,”According to BITX market analyst. “If volume supports the move, XRP could see an extended run toward $4 in the coming weeks.”
Trading volume remains elevated compared to the pre-breakout period, indicating sustained buying interest. However, analysts caution that failure to hold $3.00 support could invite a deeper pullback toward the $2.60 zone.
The technical outlook remains bullish, backed by:
- Breakout from a long-term downtrend
- Strong horizontal support retests
- Higher highs and higher lows formation
- Volume confirmation during rallies
If buyers maintain control, XRP could be entering a new bullish phase, making $4 not just a technical target, but a realistic short- to medium-term goal.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.