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XRP continues to show strong bullish momentum, maintaining an uptrend structure despite temporary pullbacks. The chart reveals two significant bullish flag patterns, both acting as correction phases before breakouts. Currently, XRP is attempting to break out from the second flag, and the market’s reaction to this level will determine the next major move. Additionally, a cup-and-handle formation appears to be developing, which could signal an even stronger breakout in the coming weeks.

XRP Price Analysis & Prediction – January 28, 2025 — Source: TradingView

Current Market Overview

After a period of consolidation, XRP is trading at $3.1328, up 13% on the day. The asset has successfully bounced off key support levels and is now testing the upper boundary of the descending channel, which has historically acted as a breakout point. Volume has increased, indicating renewed buying interest, and the technical setup remains favorable for continued bullish action.

🔹 Current Price: $3.1328 (+4.69%)
🔹 24h High/Low: $3.1494 / $3.0031
🔹 Trading Volume: 59.78M XRP
🔹 Trend: Bullish continuation with potential breakout

Technical Analysis – Key Levels to Watch

The chart structure suggests that XRP is approaching a crucial breakout level. If bulls manage to push past resistance, we could see a strong continuation of the uptrend, while a rejection might lead to short-term retracement before further gains.

Key Support Levels (Buyer Demand Zones)

1️⃣ $3.00 – $2.90 → Psychological and technical support from previous breakouts
2️⃣ $2.80 – $2.60 → Strong demand zone; breakdown here would weaken bullish structure
3️⃣ $2.50 – $2.40 → Major long-term support zone

Key Resistance Levels (Seller Supply Zones)

1️⃣ $3.20 – $3.30 → Immediate resistance; current breakout test level
2️⃣ $3.50 – $3.70 → Next major resistance area; potential target after breakout
3️⃣ $4.00 – $4.20 → Long-term bullish target if momentum continues

Bullish Scenario: XRP Breakout Above $3.20 (70% Probability)

If XRP breaks above $3.20 with strong volume, we could see a continuation of the bullish trend. The bullish flag breakout suggests an initial target of $3.50 – $3.70, with further upside potential toward $4.00 if momentum continues. The developing cup-and-handle pattern strengthens this outlook, as such formations typically precede strong rallies.

Bullish Confirmation Signs:

✅ Break and close above $3.20 on the daily timeframe
✅ Increasing volume supporting the breakout
✅ Retest of $3.20 as support before further upward movement

Short-Term Target: $3.50 – $3.70
Mid-Term Target: $4.00 – $4.20

Neutral Scenario: Sideways Consolidation (20% Probability)

If XRP fails to break above $3.20 immediately, it may enter a consolidation phase between $3.00 and $3.20. This would likely lead to range-bound trading before a clearer breakout. The cup-and-handle pattern would still be valid, but the breakout could be delayed.

Signs of Consolidation:

🟡 Repeated rejections near $3.20 without strong sell-offs
🟡 Declining volume indicating a lack of momentum
🟡 Slow price action between $3.00 – $3.20

Consolidation Range: $3.00 – $3.20

Bearish Scenario: XRP Rejection at $3.20 (10% Probability)

Although less likely, a strong rejection at $3.20 could lead to a retracement toward $2.80 – $2.60. This would not invalidate the bullish trend but could delay further upside. A break below $2.50 would be a bearish signal, indicating a loss of momentum.

Bearish Signals:

❌ Rejection at $3.20 with strong sell volume
❌ Break and close below $3.00 on the daily timeframe
❌ Price failing to reclaim key moving averages

📌 Bearish Target: $2.80 – $2.60

Trading Strategy & Tips

Given the current price action, traders should monitor the breakout attempt at $3.20 closely. If XRP successfully breaks above this level, it could be an ideal entry point for a long position. However, if rejection occurs, waiting for a retest at lower support levels might be a safer strategy.

Long Entry Strategy:

🔹 Buy above $3.20 with volume confirmation
🔹 Stop Loss: Below $3.00
🔹 Targets: $3.50 – $3.70 (Short-Term) / $4.00+ (Mid-Term)

Short Entry Strategy (High Risk):

🔹 Short if rejection at $3.20 with low volume
🔹 Stop Loss: Above $3.25
🔹 Target: $2.80 – $2.60

Conclusion – XRP Poised for a Breakout?

XRP is at a critical breakout level around $3.20, and the market is watching closely for a confirmed bullish move. The bullish flag pattern and potential cup-and-handle formation suggest further upside, with targets of $3.50 – $3.70 and possibly $4.00+. However, if rejection occurs, a pullback to $2.80 – $2.60 could provide another buying opportunity.

Key Levels to Watch:
🔹 Breakout Above: $3.20 → Targeting $3.50 – $3.70
🔹 Breakdown Below: $3.00 → Potential retrace to $2.80

Stay alert, manage risk, and be ready for the next big move!

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Roman Blecha

I have 6 years of writing experience on several leading websites dealing with cryptocurrencies and other investments. I have been in the Web3 sector for a similar amount of time and have collaborated on several projects from NFT to P2E. My previous experiences: Business2Community.com, TradingPlatforms.com, CryptoSvet.cz