Key Takeaways
- •XRP is showing signs of a bull flag breakout and an inverse head-and-shoulders pattern, with targets suggesting a potential rise to $3.
- •A significant decrease in XRP held on exchanges, coupled with record outflows, indicates strong accumulation by investors.
- •The 90-day spot cumulative volume delta (CVD) has turned positive, demonstrating that buyer volume is dominating seller volume and signaling sustained demand for a rally.
XRP Price Bull Flag Pattern Targets $2.97
The four-hour chart for XRP reveals the validation of a bull flag pattern. The price has successfully broken above the resistance level of $2.63, which formed the upper boundary of the flag, on Wednesday. A confirmed close above this level on the four-hour chart is expected to clear the path for XRP to advance towards its measured target of $2.92, representing an approximate 12% increase from its current price.
Bull flags are recognized as bullish continuation patterns. XRP's break above the flag's upper trendline suggests that the altcoin is poised to resume its upward momentum. The relative strength index (RSI) remains in positive territory, currently at 60, which indicates that market conditions are still favorable for further upside movement.
Classic Chart Pattern Projects $3.02 XRP Price
Analysis of XRP's price action on the three-hour time frame indicates the formation of an inverse head-and-shoulders pattern. This classic chart formation suggests a potential rally that could reach $3, according to market observers.
An inverse head-and-shoulders pattern is characterized by three troughs: a central, lower trough known as the "head," flanked by two higher troughs representing the "shoulders." According to technical analysis principles, a breakout above the neckline of this pattern can often trigger a significant price increase.
Analyst BlockBull highlighted this pattern in an X post, sharing a chart of XRP's price action on the three-hour timeframe. The analyst questioned whether XRP could reach $3 before an upcoming Federal Reserve meeting.
$XRP has printed an inverse H&S pattern. Could $XRP Reach $3 before Wednesday’s Fed Meeting?
— BlockBull (@TheBlockBull) October 24, 2025
The measured target for this inverse head-and-shoulders pattern is calculated by adding the height from the pattern's base to the neckline breakout point. With a breakout point estimated at $2.50, this pattern projects a target of $3.02, which signifies a potential 14% increase from the current price level.
Pseudonymous analyst Altcoin Gordin also commented on the price action, noting an "absolutely perfect move up from the right shoulder" and suggesting that XRP is set to reach $3 and potentially surpass it.
Absolutely PERFECT move up from the right shoulder. $XRP is going to send & NOTHING will stop it. Do you understand? pic.twitter.com/RT6S5CbOC1
— Gordon (@AltcoinGordon) October 24, 2025
As previously reported, XRP is exhibiting strong bullish signals. The substantial accumulation by Evernorth, totaling $1 billion, and record exchange outflows are fueling expectations for a significant surge towards $3 in the coming weeks.
Decreasing XRP Supply on Exchanges
Data from Glassnode indicates a substantial decrease in the supply of XRP held on cryptocurrency exchanges over the past 30 days. On September 20, approximately 3.9 billion XRP were held on exchanges. By October 29, this figure had fallen to 2.57 billion XRP, marking a reduction of 1.4 billion tokens.
This reduction in exchange supply suggests that holders are less inclined to sell their XRP, which supports the potential for upward price movement. The sharp decline is attributed to record outflows from exchanges. According to Glassnode data, the net position change for XRP on centralized exchanges has fallen by 2.78 million, the largest historical decrease.
Such significant outflows are typically indicative of substantial accumulation by large investors, commonly referred to as "whales." This reduces immediate selling pressure in the market, thereby reinforcing the possibility of XRP's rebound towards the $3 mark.
Positive 90-Day CVD Supports XRP Bulls
An analysis of the 90-day spot taker cumulative volume delta (CVD) reveals a shift in market control, with sellers ceding ground since October 14. Data provided by CryptoQuant shows that buy orders, executed by takers, have regained dominance over sell orders. This suggests that more buy orders are being placed in the market than sell orders.
This trend indicates sustained demand for XRP, even following recent price pullbacks, and generally signals that the price may recover from its current levels.
The CVD metric measures the cumulative difference between buy and sell volume over a three-month period. A positive CVD reading signifies that buying pressure is stronger than selling pressure. This suggests optimism among traders, who are actively accumulating the asset.
If the CVD continues to remain positive (green), it indicates that buyers are maintaining their commitment, which could pave the way for another wave of upward price movement, similar to what has been observed during previous rallies.