TLDR
- XRP has risen 15% in early 2026 but is now showing signs of buyer fatigue.
- RSI on the hourly chart signals bearish divergence, warning of reduced momentum.
- XRP price recently touched $2.15 before showing weakening strength on indicators.
- Analyst EGRAG CRYPTO suggests $2.30 breakout needed for bullish continuation.:
XRP started 2026 with a 15% rally, reaching a new local high above $2.15. However, recent technical indicators suggest that the bullish trend may face resistance. A bearish divergence on the Relative Strength Index (RSI) has emerged on the hourly chart, signaling that momentum behind the price movement may be weakening.
This type of signal is often seen when price action continues upward while the RSI begins to decline. The move indicates that although prices are rising, buyer strength is not keeping pace.
Bearish Divergence Raises Caution
A bearish divergence occurs when the asset posts a higher high in price, while the RSI forms a lower high. This suggests that while buyers are still active, their strength is fading.
XRP’s RSI has failed to push back into the overbought zone with the same momentum seen earlier. This divergence between price and RSI often precedes short-term price corrections. Analysts expect XRP may test support levels around the $2.05 to $2.10 area to confirm if the current trend can continue or if a deeper correction will follow.
Technical indicators are warning traders that the recent move might be temporary unless stronger momentum returns.
Analyst Sees Controlled Correction, Not Breakdown
Crypto analyst EGRAG CRYPTO posted on social media that the current pattern on XRP’s 5-day chart shows a controlled correction. According to the analyst, the price is moving within a descending channel, which does not indicate distribution, but rather a cooling of momentum.
“What I’m watching next: close above the 21 EMA, retest and hold as support, and a break of the channel top near $2.30,” wrote EGRAG. The analyst added that a breakout past $2.30 could pave the way toward $3.10 to $3.30.
#XRP – 5D Chart: Compression Before Expansion?
Price is still moving inside a clean descending channel. This is not distribution , it looks like controlled correction and momentum cooling.
What I’m watching next:
▫️Close above the 21 EMA
▫️Retest + hold as support
▫️Break the… pic.twitter.com/ywfZMsRMyJ— EGRAG CRYPTO (@egragcrypto) January 5, 2026
Based on chart structure, EGRAG estimates a 60% chance of an upward breakout, a 30% chance of continued range trading, and only a 10% chance of a full breakdown toward $1. He added, “Structure first. Emotions second.”
Short-Term Support Levels in Focus
With price action showing signs of weakness, market participants are expected to monitor short-term support levels closely. The $2.05–$2.10 range may act as a key test area. If XRP holds above this range, it could give bulls more confidence. However, if the support fails, a deeper pullback could follow.
So far, the RSI’s downward trend, while price remains elevated, indicates a pause or pullback is possible. Traders may wait for confirmation from further price movement before entering new positions.
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