Bloomberg's top ETF experts, Eric Balchunas and James Seyffart, have just made an optimistic forecast: there is a 95% chance that the US Securities and Exchange Commission (SEC) will give the green light to ETFs for XRP, Solana (SOL), and Litecoin (LTC) in 2025.
In that context, is XRP’s current accumulation phase quietly laying the groundwork for a spectacular breakout, or will the bears take advantage of the opportunity to pull the price lower? Let’s analyze the technical chart to find out.
XRP Price Prediction
The bulls managed to push XRP above the 50-day simple moving average (SMA) at $2.24 during Monday’s trading session. However, the long candle shadows on the chart suggest that profit-taking pressure has increased significantly at higher price levels.
In the short term, the 20-day exponential moving average (EMA) at $2.17 will be a key support level to watch closely. If the price rebounds strongly from this area, the possibility of XRP breaking above the stiff resistance at $2.35 will increase significantly. Once this level is broken, the XRP/USDT pair could extend its rally to the $2.65 area.
Conversely, if the price slides below the 20-day EMA and stays below this level, it will be a signal that the bears are gaining the upper hand. Selling pressure could then drag the price down to $2.06, or even deeper towards the key support level at $2. This is considered the last “fortress” of the bulls, because if this level is decisively penetrated, the pair risks falling into a deeper correction cycle, with the next target around the $1.61 area.
On the 4-hour time frame, the bears are showing great determination as they continue to block the upside momentum at the $2.35 resistance zone. Currently, the 50-period SMA is acting as the nearest support. However, if selling pressure continues to increase and breaks this level, the pair risks sliding further towards $2.06 – a key support zone that the bulls will have to defend. A breach of $2.06 could trigger a new wave of selling, pushing the price back towards $2.
Conversely, if the price bounces off the 50-period SMA, the bulls could use the recovery momentum to push the price back to the neckline of the inverse head and shoulders pattern. A clear breakout and close above the neckline would trigger the bullish pattern, opening the door to a move to the next target at $2.76.