- XRP must hold $3.07, $3.13, and $3.30 levels.
- Failure to sustain key levels may result in a bull trap.
- Traders must watch for sustained closes above critical resistance points.
Both traders and investors have closely followed XRP’s price movements, and recent analysis from EGRAG CRYPTO has brought new attention to the coin’s short-term potential. EGRAG warns that XRP must successfully close above three key price levels and hold them for at least three days to avoid the risk of a bull trap.
These crucial levels are $3.07, $3.13, and $3.30, which EGRAG identifies as essential for confirming a sustained bullish trend.
According to EGRAG, closing above these levels is necessary for XRP to maintain upward momentum. However, if the price fails to hold above these thresholds and drops back below them, the market may be setting up a bull trap.
In this case, traders could be misled into thinking the price will continue rising, only to see it fall back to previous levels.
XRP’s Critical Resistance Levels
The price levels EGRAG highlights – $3.07, $3.13, and $3.30 – are pivotal for XRP in the short term. For XRP to maintain a bullish outlook, it must break through and hold these resistance points for three consecutive days.
A failure to do so could signal that the rally was only temporary, and XRP could face downward pressure, possibly triggering a market correction.
Also Read: Egrag Crypto: ‘XRP Is Ready to Move, But Where?’ Here are Key Levels to Watch
The $3.07 level is the first crucial resistance point. If XRP can close above it and maintain the price for three days, it would mark the start of a potential bullish breakout. The subsequent levels at $3.13 and $3.30 need to be tested and held for a longer period to ensure that the upward movement is sustainable.
If these levels are breached, they would likely become support, reinforcing the upward trend.
The Risk of a Bull Trap
EGRAG’s analysis strongly suggests that failure to hold these price levels could lead to what is known as a “bull trap.” A bull trap occurs when the price temporarily breaks higher, encouraging traders to enter long positions, only for the price to reverse and move lower shortly after.
This could catch traders off guard, especially those who jumped into the market hoping for a continued rally.
As such, EGRAG emphasizes that traders should remain vigilant and avoid assuming that the bullish trend is secure without confirmation. XRP’s price action over the next few days will be critical in determining whether the coin can establish new support levels above $3.07, $3.13, and $3.30.
The Next Few Days for XRP
The coming days will be crucial for XRP, with the market watching to see if the coin can sustain above these key resistance levels. If XRP holds above $3.07, $3.13, and $3.30 for the required three-day period, it will likely continue its upward movement.
However, if it fails to do so, traders may have to reconsider their positions, as the risk of a bull trap could come into play.
XRP price action remains in the spotlight, and traders are advised to monitor these levels closely for signs of either a breakout or a reversal. How XRP handles these critical thresholds will play a decisive role in the coin’s near-term future.
Also Read: CoinsKid to XRP Holders: ‘Compression Leads to Expansion’ – Here’s What it Means
