$XRP Technical analysis and price prediction
According to expert technical analysis, XRP appears to be neutral until it breaks through the sustained consolidation between $2.90 and $3.30.
Based on recent price momentum, if XRP breaks out of consolidation and closes above $3.32 on the daily chart, it is likely to surge by 32% to reach $4.50 in the coming days. Conversely, if XRP breaks down from consolidation and closes below $2.85 on the daily chart, it could potentially drop by 10% to $2.58.
On the positive side, the Relative Strength Index (RSI) is currently at 65, indicating that XRP is approaching overbought levels, but there is still room for further upside.
Current price momentum
Despite the bearish outlook, XRP is currently trading close to $3.25, with a price increase of 1.60% over the past 24 hours. However, during the same period, its trading volume decreased by 35%, indicating a decline in trader and investor participation compared to the previous day.
In recent days, Ripple Labs' native token XRP has struggled to gain momentum, and data shows it may continue to struggle in the coming days. This negative speculation is based on the recent activities of investors and long-term holders amid ongoing market uncertainty.
Bearish on-chain indicators
Data from on-chain analysis company Coinglass shows that the exchange has witnessed an inflow of $62 million in XRP over the past 48 hours. The significant inflow of XRP tokens into the exchange suggests a potential sell-off, which could lead to a price drop and increased selling pressure.
In addition to the significant inflow of funds, the long/short ratio, which measures trader sentiment, is currently at 0.92, indicating a bearish outlook due to the dominance of short positions.
However, this situation occurs during a period where the asset has experienced sustained price consolidation over the past six days.
