Usman Salis
After almost 12 months of range-bound trading, XRP (Ripple) is testing a crucial supply zone near $3 once again. The price has been locked in sideways movement, repeatedly bouncing off the same resistance while holding above $2.50 support. This extended period of compression has some market participants wondering if a significant move is finally on the horizon.
XRP Consolidation Approaches Breaking Point
The daily chart reveals a clear pattern. According to trader 𝐃𝐎𝐌𝐈𝐍𝐔𝐒, XRP has been trading between $2.50 and $3.20 for over 300 days, with the $3 mark acting as a persistent ceiling.
Heavy trading activity has confirmed the importance of this resistance zone, with more than 80 billion XRP changing hands within this range. The volume profile suggests that once this level breaks, significant momentum could follow. Extended consolidation patterns like this one often precede sharp moves in either direction, especially once accumulated liquidity gets cleared. If XRP manages a decisive close above $3, some technical analysts believe a rally toward $10 could unfold over the coming months.
What's Driving the Optimism
Several factors are fueling bullish expectations:
- Altcoins have gained strength alongside Bitcoin's recent performance
- Long-term holders appear committed to defending support zones and absorbing selling pressure
- Growing regulatory clarity and institutional interest in crypto may provide tailwinds
- The prolonged consolidation itself suggests energy is building for a potential move
However, there's a cautionary note worth considering. XRP has failed to break through this resistance multiple times already. Another rejection could extend the consolidation phase and test the patience of even the most committed bulls.
Pressure Mounting for a Resolution
XRP has now tested the same resistance area for nearly a year. History shows that such lengthy consolidations typically resolve with heightened volatility. If buyers can push the token decisively above $3, the door may open toward significantly higher targets. Until then, all eyes remain on whether this long-standing ceiling can finally transform into support.
Usman Salis
