XRP is rebuilding its technical structure in record time following the mass selling that affected the market at the beginning of the month. It briefly moved to its higher levels after a sharp liquidation and is now again in a tight compression pattern, testing an overhead resistance that is abruptly stalling its attempts to ascend.
At the beginning of this week, the chart showed a brief breakdown, with the asset dropping from $2.18 to below $2.00 in a single wave of high-volume selling. While the decline resembled the broader market’s sharp pullback, buyers intervened aggressively near $1.98, triggering a strong intraday reversal.
All this movement stabilized XRP, placing it back in the mid-$2.10 range. Volume expansion during this upswing confirms renewed interest, suggesting that selling pressure was exhausted near the lows.
Tension Rises: XRP Approaches Breakout Level
Technical analysis highlights that XRP is one step away from the key breakout: the sloping resistance line that has guided the market for weeks. Every rally within this structure has been met with compression from overhead supply, creating a narrowing channel that indicates indecision rather than a confirmed trend shift.
The chart depicts a sequence of wedge and triangle formations that have repeatedly resolved lower, with rallies failing to break the dynamic resistance. This latest move places XRP directly at that same boundary, making this zone a critical test for buyers.
If bids fail to hold near the recent local high, the configuration would tilt toward another rotation lower, potentially taking the price back toward the previously identified support zone.
For XRP to escape this corrective phase, buyers must secure a clear break above the resistance line and, crucially, defend the last higher low carved out during the rebound. Failure to maintain this higher low would reset the bearish continuation, re-establishing downward pressure toward previous support. Until a decisive breakout occurs, the market will remain in a compression pattern where momentum can be easily disrupted by overhead supply.