Saad Ullah
While uncertainty lingers across crypto markets, XRP's price action is telling an interesting story. The chart shows a pattern of vertical accumulation, suggesting long-term holders are quietly building positions for the next cycle. Despite some short-term choppiness, XRP keeps defending higher lows within a well-defined ascending channel that's been in play since early 2025.
What the Chart Reveals
Analyst ChartNerd believes we're witnessing a classic "shakeout"—a moment when weaker hands panic and sell, setting the stage for a sharper rally down the road. As the tweet puts it: "The weak hands would panic," hinting that short-term traders might bail right before the next major move kicks in.
XRP is trading inside a rising parallel channel marked by two "Vertical Accumulation" zones—areas where big players and long-term investors have historically soaked up supply before prices took off. Here's what stands out:
- Support around $1.70–$1.80: This lines up with the 2021 cycle highs and has acted as a strong demand floor, preventing deeper drops
- Current price near $2.64: XRP is consolidating after a modest pullback
- Resistance between $3.00–$3.20: This marks the top of the local downward channel
- Projected path: A possible short-term dip toward $2.00, followed by a breakout rally targeting $4.00 or higher in 2026
This setup looks like classic "bullish reaccumulation"—where price compresses before launching into a strong upward move.
The Shakeout Effect
The phrase "The weak hands would panic" captures what's happening emotionally in the market right now. XRP has a history of pulling back right before major breakouts, causing inexperienced traders to sell at exactly the wrong time.
This shakeout phase does two things: it flushes out short-term speculators while letting more patient investors pick up positions at better prices. It also creates liquidity below key support levels that bigger players can use to accumulate quietly. We've seen this play out during XRP's previous runs in 2017, 2021, and mid-2023—each time before an extended rally.
Key Levels to Watch
- Immediate resistance: $3.00–$3.20
- Critical support: $2.00–$2.20
- Major support base: $1.70 (2021 cycle highs)
- Long-term target: $4.00–$4.20
If XRP holds its structure within this ascending channel and breaks above $3.20 with solid volume, the technical picture points toward new cycle highs ahead.
Saad Ullah
