- XRP steadies above $2.81 as traders eye key breakout.
- Analyst notes triangle pattern signaling possible surge toward $3.90.
- Supply clusters at $2.81 and $3.26 shape XRP outlook.
XRP is holding firm above a critical price level after a period of heightened volatility. According to Glassnode data, $2.81 has become a major support zone, where investors accumulated nearly 1.7 billion tokens.
Another significant supply density can be observed at $3.26, where more than 1.05 billion tokens were bought. Meanwhile, a far smaller amount, only about 2.9 million tokens, was accumulated in the narrow $3.57 to $3.58 range. These figures highlight the importance of certain levels in determining future market direction.
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Supply Density and Market Behavior
The cost basis distribution heatmap from Glassnode reveals how accumulation at specific prices helps shape support and resistance zones. These regions tend to give traders a better understanding of where demand may grow or deteriorate during market action.
As a result, high token concentration around the 2.81 mark indicates that this area may remain a make-or-break point in terms of price stability. A prolonged decline below it may endanger the XRP momentum, and a position above reinforces bullishness.
In addition to the accumulation patterns, trading dynamics are weak. According to CoinGlass, XRP derivatives experienced a 44 percent decline in traded volume and an 82 percent decline in open interest. These declines are usually indicative of decreased speculative activity and a loss of short-term momentum.
The pullback has not resulted in market performance. XRP has given a good annual return of over 50 percent, which is way ahead of that of Bitcoin. It has gained more than 237 percent last year, which makes it even more attractive to investors despite fluctuations.
However, recent failure to maintain its July rally has dampened hopes. The token continues trading 15 percent below its all-time high of $3.67, which was registered earlier this summer. The precarious nature of its current structure is reflected in temporary drops below the key level of $2.81, as was the case on August 2.
Analyst Notes Triangle Pattern
Further technical insight has emerged from a chart shared by market analyst Ali on X. He indicated that XRP was starting to build in a triangle, with price movement becoming narrower as it reaches the top. According to him, a breakout above the $3.26 resistance could trigger a rally extending to $3.90.
Such a forecast is in line with Glassnode’s finding a robust supply cluster at $3.26, implying that a break of this price point could unleash meaningful momentum. The chart also shows that oscillations in the pattern can occur prior to a decisive move, which is why it is valuable to watch the short-term resistance and support levels.
Outlook for Traders and Investors
The clusters of support and resistance, indicated by the supply density, along with technical patterns like the triangle formation, can be used to make decisions in the forthcoming weeks.
With strong buying interest concentrated around $2.81 and $3.26, traders are now watching whether XRP can sustain momentum above these pivotal zones to maintain a broader bullish structure.
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