- XRP forms double bottom pattern, signaling possible bullish trend reversal.
- Key support zone holds firm, sparking renewed optimism among traders.
- Breakout above neckline could trigger strong upward momentum in XRP.
XRP is drawing renewed attention after forming a promising technical setup near a critical support zone on the 4-hour chart. The asset has held steady in the area above the $3.05-$3.10 region, which has been a solid demand step numerous times in the time frame to date.
Based on Alpha Crypto Signal, the current level of XRP is already exhibiting slight indications of a possible double bottom. This chart pattern, which can pass as a bullish reversal pattern, is starting to pick up after a tick, which is accompanied by an increase in volume.
Its price is currently at $3.14 and only slightly below the 50-period Simple Moving Average, which is around $3.17.
The recent price action indicates that XRP has returned to the 9-period Exponential Moving Average. This is considered a temporary change in momentum, and it might benefit buyers. The strength that shows at the support region remains the factor keeping the market bullish.
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Technical Formation Builds as Traders Monitor Breakout Trigger
The current structure of XRP suggests that bulls are preparing for a potential breakout if resistance levels are cleared. The neckline of the emerging double bottom formation sits close to the $3.25 mark.
A break of this level would indicate the beginning of the new upward trend, and the levels near 350 will be taken fairly seriously.
Over time, during each bounce off the support, volume increases noticeably, indicating that buyers are accumulating. This increased trading volume goes along with increased response at the $3.05-$3.10 area, which again supports the significance of this area in the current market structure.
Source: Alpha Crypto Signal
There is a growing trend in the form of momentum towards the bulls as XRP price action trades just above the short-term moving averages. Provided XRP maintains these levels, it would set up the premises for a prolonged increase in the following days.
A valid break above the neckline would provoke more activity by those traders demanding bullish continuation.
XRP’s chart now reflects a structure that could lead to an imminent bullish reversal. As long as the price is above the $3.05–$3.10 zone and breaks the $3.25 neckline, the setup remains favorable for a possible upside move.
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