TLDR
- XRP has been trading in a $2.30-$2.50 range for two weeks before showing signs of potential breakout
- Technical analyst Dark Defender predicts possible surge to $5.85, representing a 129% increase from current $2.55 level
- Further bullish target set at $8.76, which would be nearly triple XRP’s previous all-time high of $3.40
- SEC has acknowledged Grayscale’s XRP ETF filing under new leadership, potentially signaling a more crypto-friendly regulatory environment
- Recent price action shows mixed signals with 11% weekly gain but 17% decline over two weeks, with key resistance at $2.66 and $3.12
XRP has been trading within a narrow range between $2.30 and $2.50 for the past two weeks, but technical indicators suggest a potential breakout may be imminent. The cryptocurrency, currently priced at $2.55, has shown resilience despite recent market volatility and continues to hold key support levels.
The latest price action comes as the SEC acknowledges Grayscale’s filing for an XRP exchange-traded fund (ETF), marking a potential shift in the regulatory landscape. This development follows changes in SEC leadership and could represent a new chapter in XRP’s market presence.
Technical analyst Dark Defender has identified several key indicators pointing to a possible price surge. According to the analyst’s recent social media posts, the completion of the current consolidation phase is evidenced by lows in the relative strength index (RSI) on the daily chart.
XRP almost finalised the consolidation on the daily Chart, as seen from the RSI lows.
Wave 3 is preparing to fire the bullet against the $5.85 parapet.
The short-term target is $5.85 and $8.76.
Supports: $1.88, $2.33We are warming up, phase II.
Not Financial Advice. pic.twitter.com/5Xo6UDkHbf— Dark Defender (@DefendDark) February 10, 2025
The analysis suggests that XRP may be entering what’s termed as a “wave 3” rally, with an initial target of $5.85. This would represent a 129% increase from current trading levels, a move that would break through several key resistance points along the way.
Short-term support levels have established themselves at $1.88 and $2.33, with the latter proving particularly important in preventing further declines during recent market-wide selloffs. These levels have helped maintain price stability during the consolidation period.
On the resistance side, traders are watching the $2.66 and $3.12 levels closely. These price points previously acted as support before recent market movements pushed prices lower. Breaking through these levels could open the path to higher targets.
The analysis extends beyond immediate price targets, with Dark Defender outlining a more ambitious goal of $8.76. This projection would represent a 243% increase from current levels and would nearly triple XRP’s previous all-time high of $3.40.
Recent price action shows mixed signals in different timeframes. While XRP has recorded an 11% gain over the past week, it has also experienced a 17% decline over the previous fourteen days. This volatility reflects the broader cryptocurrency market conditions.
Trading Analysis
The daily trading volume has remained steady, indicating sustained market interest during the consolidation period. Traders have been closely monitoring the price action for signs of a breakout in either direction.
If XRP manages to break above the $3 mark, it may face additional resistance at $3.29 and $3.38. These levels previously prevented the price from reaching new all-time highs and could prove challenging to overcome.
The regulatory environment for XRP has evolved considerably since the SEC’s lawsuit against Ripple Labs, which had previously kept prices range-bound between $0.30 and $0.50 for nearly four years. The current regulatory climate appears more favorable under new leadership.
Market participants are particularly interested in the potential approval of an XRP ETF, following the successful launches of Bitcoin and Ethereum ETFs last year. These investment vehicles have helped increase adoption and capital inflows for their respective cryptocurrencies.
The hourly chart shows a bearish trend line forming with resistance at $2.620, suggesting some near-term caution may be warranted. The price currently trades below both $2.650 and the 100-hourly Simple Moving Average.
Technical indicators on shorter timeframes present a mixed picture. The hourly MACD shows momentum in the bearish zone, while the RSI remains below the 50 level, indicating potential for further price discovery in either direction.
Immediate support levels to watch include $2.50 and $2.480, with $2.420 serving as the next major support zone should prices move lower. A break below these levels could trigger a move toward $2.350.
