Ripple’s XRP is a moving towards a major resistance level of $0.6044 as the cryptocurrency completes a long compression zone. Though in the recent past, had minor characteristic price swings, fundamentals signal a probable forthcoming large XRP price incline. If the bullish pressure extends, analysts are expecting an enormous upward breakout based on God Candle Backtest (GCBT) levels.
GCBT Levels and Compression Pattern
XRP as seen in the 4hr chart shared by analyst just completed two major God Candle Backtest at $0.4494 (GCBT 1) and $0.5194 (GCBT 2). These tests have extended the bullish sentiment and the market now aims at a third GCBT at $0.5433.
4 hour timeframe for #XRP
The bulls go up the stairs.
Two God candle backtests complete. One more is on the cards!
Pushing torwards the end of a compression pattern.
Best of luck here CKC🤝 pic.twitter.com/aIFEjHy4L1
— CoinsKid (@Coins_Kid) September 23, 2024
XRP is currently testing a symmetrical triangle compression pattern for XRP, which is common before explosive moves. A narrowing triangle with higher lows and lower highs is formed, which means that a huge breakout might emerge soon. The target for the breakout is higher than the current $0.6044 resistance level, which is evident from the tightening and more pronounced trend lines.
Technical Indicators Supporting a Bullish Move
The RSI signal on the 4-hour chart has reached 47.37, still leaving room for further growth before overbought levels are reached. Despite the price ranging in a constricted area, the downtrend of the RSI indicates a bullish hidden divergence. What this means is that once volume picks up, we have a higher probability of an upward breakout.
Also, the EMA (Exponential Moving Average) 20 close at $0.5885 means that price is still stuck around this strong resistance, and this makes XRP ready for higher move up. A breakout beyond the current levels may cause buying pressure to force the XRP to new local highs.
XRP Aims at Resistance Levels With Potential Breakout Ahead
On-Chain Data and Market Trends
Supporting this optimism is the noticeable accumulation of XRP by traders. Recent on-chain data reveals a 1.72% increase in futures open interest, rising to $744.85 million. This suggests growing market participation and confidence in XRP’s future price movements. The rise in open interest and positive funding rates point to bullish sentiment, with many traders holding long positions.
XRP’s trading volume has surged by 4.93%, reaching over $921 million in the past 24 hours. This heightened activity shows significant market interest despite the minor 1.0% price drop to $0.5858. XRP’s market capitalization has also slightly dipped, now standing at $33 billion.
