XRP has faced pressure in recent days, trading just below the $3 mark after a series of pullbacks reflecting the general cooling across the cryptocurrency market. However, according to technical analysis shared by cryptocurrency analyst Nehal, the asset may be approaching a crucial accumulation zone. In his outlook, this could set the stage for a breakout rally that takes XRP to at least $5 before the end of 2025.
XRP Drops Below $3; Now Is The Time To Buy
After peaking above $3.35 in early August, XRP has faced steady selling pressure along with the rest of the cryptocurrency market. This has caused the cryptocurrency to drop below $2.90 and fall into the $2.80 range. Unless there is broader bullish momentum, this downward trend could continue in the upcoming trading session, but technical analysis on the 6-hour candlestick chart suggests a strong recovery may be very close.
In a post on the social media platform X, Nehal describes the $2.70 level as one of the clearest support levels on XRP's chart, while noting that this level has the lowest probability of being broken to the downside. According to the analyst, the number of buyers waiting at this price level makes it increasingly difficult for the asset to drop further.
He personally places buy orders in the range of $2.76 to $2.80, and this area is the ideal entry point for traders looking to accumulate ahead of the next major price surge. This analyst recommends that XRP is unlikely to drop much further, making the current price "too attractive" for investors on the sidelines to ignore.
Breakthrough Target On The Road To $5
Nehal's chart shows a bullish recovery scenario, where XRP rises from the $2.75 area and begins to conquer several resistance levels. The first resistance level is $3.04, which was the initial support that prevented any break below the $3 price during the past week. From here, the next price target is $3.23, followed by the stop level of $3.42 in July.
The final step in Nehal's recovery prediction is the resistance level of $3.61, just below the all-time high of $3.65 achieved in July. Breaking through this level would not only mark a full recovery after the recent pullback but also set XRP on a path to explore price in new ranges. Each of these milestones acts as a stepping stone for a broader breakout, which he expects will take XRP to at least $5 before the end of 2025.
At the time of writing, XRP is trading at $2.86 and is gradually approaching the buy/recovery level of $2.75. However, the recovery does not necessarily require a perfect retest of this level. Instead, XRP's price could recover at any level in the range of $2.76 to $2.80.
