U.Today – XRP's recent rally has stalled after hitting highs near $3, leaving the market wondering what will happen next. Amid the current uncertainty in the cryptocurrency market, XRP seems to be strengthening, especially in its trading pair. Could a breakout against BTC be on the horizon?
Over the past few weeks, XRP has performed outstandingly, gaining momentum amid positive developments in the broader cryptocurrency market and positive sentiment around the launch of the Ripple USD (RLUSD) stablecoin.
XRP rose to highs of $2.90 on December 3, while also reaching highs of $0.00003 in Bitcoin pairing, a level last seen in May 2021.
However, after this feat, the rally seems to have entered a calming phase. The trading pair, which assesses the relative strength of XRP versus Bitcoin, slowed and settled in a range, indicating that the next move could be pivotal.
Traders are eyeing the $0.0000265 and 0.00003 BTC levels as major hurdles for XRP. A break above these key levels could signal the next phase of the rally.
The XRP rally may have paused, but the market is looking for a clear direction on where to go next. Whether XRP breaks out or declines, its next moves could shape its short-term trajectory.
Price analysis
At the time of writing, the price of XRP has fallen by 0.73% over the past 24 hours to $2.29. XRP has moved in a range since hitting highs of $2.90 on December 3. The RSI around the midpoint indicates a balance between supply and demand, implying a potential range trading between $1.90 and $2.90 in the coming days.
The recent price action has created a symmetrical triangle pattern, which is often viewed as a continuation pattern but sometimes acts as a reversal pattern. If the price rises and breaks above the triangle, the chances of a breakout above $2.91 increase.
On the other hand, a breakout and close below the triangle may indicate that XRP has reached its short-term peak. Such a move could pull XRP to the 50-day simple moving average at $1.73.
