Ripple (XRP) just had a strong upward movement, approaching the strategic resistance zone of $3.6. This is considered an important resistance level, and if buying pressure continues, a successful breakout scenario could open up a new upward trend towards the psychological level of $4.

Daily Chart (Daily Chart)

After correcting from the recent peak, XRP has found strong support at the $2.8 support zone. Notably, this area coincides with the 0.5 Fibonacci retracement level of the previous upward movement – a technical factor that helps attract significant buying pressure from the market.

From here, the price surged, quickly approaching the resistance zone of $3.4 – $3.6. This is not only the previous swing high but is also seen as an area with significant supply pressure, making it a key 'test' for the buyers.

  • Positive scenario: If the price breaks above and closes a daily candle above $3.6 with high trading volume, the next target will be the $4 mark – which has both technical significance and is a strong psychological level.

  • Correction scenario: In the short term, profit-taking pressure may occur at $3.6, leading to a period of accumulation or slight correction before the market has enough strength to continue the breakout.

4-Hour Chart (4H Chart)

On the 4H timeframe, the bullish structure of XRP becomes clearer. After a period of accumulation in a bullish flag pattern, the price has maintained support at the Fib 0.5 level and surged strongly upwards.

This breakout phase has pushed the price close to $3.6, while also creating the possibility of a short squeeze if this resistance is breached. In that case, buying pressure triggered by closing short positions could quickly drive the price up to $4.

Conversely, if the price repeatedly fails at $3.6, it is likely that the market will revert to a state of accumulation within the current range before a new trend emerges.

Summary:

  • Important support: $2.8

  • Key resistance: $3.6

  • Next target if breakout: $4

  • Short-term risk: Take profit at $3.6 and re-accumulate

Currently, $3.6 is the 'gateway' determining the new upward movement of XRP. Investors need to closely monitor trading volume and price reactions in this area to develop a reasonable strategy.