Recently, XRP has been interesting; although the overall market is sluggish, there are signs indicating that a major rebound may be brewing.

Many people ask me: 'Is XRP going to rise now? Can I still get in?'

Let's look at a few key points:

The double bottom pattern is forming quickly, and bulls want to counterattack.

Currently, a clear 'double bottom pattern' has appeared on XRP's 4-hour chart, which is a bullish signal from a technical perspective, targeting a price of $2.32.

The support level for this pattern is at $2.12, and XRP is still holding up; once a rebound is confirmed, the target is the critical point of the $55 million shorts!

Why is the $2.32 position so critical?

According to Coinglass data, if XRP rises to $2.32, it will trigger a $55 million short liquidation!

What does this mean?

Some people are betting that XRP will drop, and if it rises instead, they will be forced to liquidate—liquidation = forced buying = helping the market to rise.

This is what is known as a short squeeze!

Bulls are starting to exert strength, and indicators are also turning.

The RSI indicator is slowly climbing from a low position, which usually indicates that buying pressure is recovering.

Although the AO momentum indicator is still below the zero line, it has turned green, indicating that the shorts are not as strong as before.

Additionally, the lawsuit between Ripple and the SEC is also expected to bring good news, which is encouraging the bulls.

But there are still potential risks.

Although the overall trend looks bullish, there are also some concerning signals: whales are quietly selling XRP.

If the selling continues, it may strangle this rebound in its infancy—especially if it breaks below $2.12, it may drop below $2.

To sum up:

As long as it doesn't break below $2.12, XRP's rebound looks towards $2.32.

At the moment of 2.32, shorts will face liquidation, and the market may strengthen further.

But the whale sell-off is an uncertain factor, so it's important to set stop losses during operations!

I am a senior analyst + cryptocurrency trader, and I have been tracking the technical patterns and on-chain trends of mainstream coins like XRP for a long time.

Want to see more similar analyses? Follow me, and I'll help you avoid pitfalls and seize market opportunities!