XRP Forms Bullish Pattern – Will It Break the $2.55 Level?

After recent volatility, XRP appears poised for a significant upward move, having formed a bullish “cup and handle” pattern on the four-hour chart.

Analysts predict that if XRP breaks above $2.55, it could see a 12% surge, with the next target set at $2.83.

Technical Analysis of XRP – What’s Next?

According to experts, XRP is on the edge of a breakout, but there are key levels to watch:

📌 Bullish Scenario

• If XRP closes a four-hour candle above $2.55, the probability of a move toward $2.83 is high.
• The bullish “cup and handle” pattern typically signals a strong upward impulse.

📌 Bearish Scenario

• The main resistance level is the 200 EMA, which aligns with the neckline of the pattern.
• If XRP fails to break $2.55, a pullback to $2.40 could occur.

Current Price Dynamics – XRP Hovers Around $2.52

Currently, XRP is trading at $2.52, posting a 1.10% gain over the past 24 hours.

⚠️ What Concerns Investors?

• Trading volume has dropped by 45%, indicating weaker market activity.
• Lower volume often signals uncertainty in price direction.

Investors Move $13M in XRP to Exchanges

One of the main reasons XRP is struggling to gain momentum is the increased token flow to exchanges.

• According to Coinglass, $13 million worth of XRP has been deposited to exchanges in recent days.
• This creates selling pressure that could limit further price growth.

If these funds are sold off, it could trigger a short-term dip.

Key Liquidation Levels – Where Are Traders Positioned?

Traders are using high leverage, which can lead to sudden moves in both directions.

📌 Long Positions

• $2.40 is a critical zone with $57M in long positions at risk.
• A drop below this level could spark a wave of liquidations.

📌 Short Positions

• $2.55 is a key level for short positions, with $8.5M worth of bets against XRP.
• A breakout above this level could trigger short liquidations, fueling upward momentum.

This setup indicates that bulls are heavily supporting XRP in an effort to overcome resistance levels.

Will We See XRP at $2.83?

• XRP has formed a bullish “cup and handle” pattern – a strong signal of upward movement.
• If the price breaks $2.55, the next target is $2.83.
• The main risk remains selling pressure and declining trading volume.

📢 What to Watch For?

• Whether XRP will break $2.55 or face rejection.
• Increase in trading volume – this would confirm a bullish move.
• Whether large liquidations will lead to a breakout or a correction.

The coming days will be crucial for XRP.