A final shakeout phase before a potential breakout is playing out for XRP, according to market analyst GainMuse.
XRP’s consolidation inside a long-term wedge has gone through the roof, illustrating tightening volatility as a macro trend continues to mature.
Therefore, beneath the surface, XRP’s compression might be reaching a boiling point, with the current liquidity trap favoring long-term, larger players at the expense of weaker ones, as accumulation is occurring at discounted levels.
GainMuse acknowledges that $1.28-$1.29 is the key support area, with XRP’s current price slightly above this zone at $1.33 per, according to CoinGecko data.
XRP Finds Itself at a Vital Crossroads
Market sentiment and on-chain indicators add further intrigue, given that XRP’s fear, uncertainty, and doubt (FUD) has jumped to elevated levels.
Interestingly, this bearish sentiment usually aligns with local bottoms rather than breakdowns, suggesting that XRP might be in for an upward reversal.
For now, the convergence of heightened pessimism, declining exchange supply, and technical compression may be a telling sign that a meteoric liftoff is in the picture for XRP.
With the $1.28-$1.29 zone being a vital inflection point that could trigger a broader recovery phase or extend the current corrective structure, GainMuse acknowledges that the next macro resistance ceiling sits at the $1.41-$1.42 area.
