TLDR
- XRP price is consolidating above $2.40 and trading above the 100-hourly moving average with bulls targeting $2.50
- Technical analysis shows XRP broke above a rising channel at $2.450 with potential resistance at $2.480 and $2.50
- Traders are rotating from Bitcoin into major altcoins like XRP as BTC consolidates near record highs around $111,000
- XRP formed a golden cross against Bitcoin on weekly charts, a bullish signal suggesting potential moves toward $3-$8
- Regulatory clarity following the SEC’s decision not to pursue appeals against Ripple is supporting XRP’s bullish outlook
XRP price action has caught trader attention as the cryptocurrency consolidates above key support levels. The token is currently trading above $2.40 and maintaining position above the 100-hourly Simple Moving Average.
Technical indicators show XRP recently broke above a rising channel with resistance at $2.450. The price reached a high of $2.4796 before entering a consolidation phase. Bulls are now eyeing the $2.480 resistance level as the next target.
Market analysts point to the 23.6% Fibonacci retracement level as current support. XRP is holding above this level following its move from the $2.3360 swing low. The hourly MACD is gaining pace in bullish territory while the RSI sits above the 50 level.
Resistance levels are clearly mapped out for XRP’s potential upward movement. The first major resistance sits at $2.50, followed by $2.550. A clear break above $2.550 could send the price toward $2.650 resistance.
Further gains would target the $2.720 resistance level or even $2.750 in the near term. The next major hurdle for bulls would be the $2.80 level. These technical levels provide a roadmap for XRP’s potential price trajectory.
Altcoin Rotation Drives XRP Interest
Bitcoin reached new highs this week, hovering just under $111,000 during Asian trading hours. The leading cryptocurrency saw slight pullback on profit-taking after its upward move. This consolidation has prompted traders to rotate into major altcoins.
Bitget Research Chief Analyst Ryan Lee suggests a potential dip in Bitcoin dominance could trigger broader altcoin season. XRP and Solana are positioned as prime beneficiaries of this rotation. High-profile altcoins are gaining traction as institutional demand grows.
Bitcoin $BTC dominance update…
This would be ideal for alts to start ripping 🚀🚀 https://t.co/2cbQSQuVIE pic.twitter.com/1DET8eaT3u
— Trader Edge (@Pro_Trader_Edge) May 22, 2025
XRP recently formed a golden cross against Bitcoin on the weekly chart. This pattern represents a historically bullish signal suggesting long-term trend reversal may be underway. The XRP/BTC ratio has been locked in sideways movement since late 2020.
Experts have seen a "golden cross" in the XRP/BTC ratio on the weekly timeframe: some believe that the XRP altseason is beginning, and all XRP holders will become fabulously rich in 2025. #XRP #crypto #presentation pic.twitter.com/LU4mNKqBtz
— satoshi begemotho (@Begemothos) May 21, 2025
Regulatory clarity has improved for XRP following recent developments. The SEC’s decision not to pursue further appeals against Ripple has removed a major overhang. This regulatory resolution is cited as a key factor supporting XRP’s bullish outlook.
Price Targets and Market Dynamics
Traders are eyeing XRP moves toward $3-$8 in the medium term based on technical breakout patterns. The improved regulatory environment adds fundamental support to these technical projections. Singapore-based QCP Capital noted the latest Bitcoin move confirms a robust trend.
The current rally appears more structurally sound than previous moves with stronger fundamental underpinnings. Less frothy momentum-chasing characterizes this market cycle compared to earlier periods. Buyers quickly reloaded following Bitcoin’s brief dip after hitting record highs.
Downside support levels remain defined for XRP if upward momentum stalls. Initial support sits near $2.450 with major support at $2.40. The 50% Fibonacci retracement level of the recent upward move provides additional support.
A break below $2.40 could lead to further decline toward $2.350 support. The next major support zone sits near $2.3250. These levels would likely attract buyers looking for entry points.
Broader macroeconomic risks could still impact altcoin performance. Rising U.S. yields and a stronger dollar present potential headwinds. Renewed tariff concerns also represent possible volatility triggers for the cryptocurrency market.
Bitcoin’s sentiment index hovers just below “extreme greed” territory as of Friday. This reading suggests the current rally may have additional room to run in coming days.
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