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crypto.news 2025-04-22 20:49:02

XRP eyes rotation to channel high after confirmed support hold

XRP has recently defended a key value area low after printing a swing failure pattern, hinting at a potential rotation toward higher levels. While the setup looks promising, volume confirmation will be essential to sustain the move. Ripple ( XRP) is currently holding above a critical value area low around the $2 mark, establishing a solid base following a swing failure pattern at $1.60. This rejection of the lows offers a bullish signal within the ongoing structure and sets up a potential 15% move toward the value area high, which aligns with descending channel resistance on the daily timeframe. This channel has defined price action for several months, and while a breakout has yet to occur, price remains active within the bounds of this structure, offering rotational trade opportunities. Key points XRP holds above the $2 value area low after a swing failure at $1.60. A rotation toward the $2.30 value area high could offer a 15% gain. Volume remains low — breakout confirmation depends on an influx of participation. XRP USDT Chart (1D) Timeframe Source: TradingView Despite the bullish reaction at support, the volume profile paints a more cautious picture. Volume remains below average, and for this rotation to carry through toward the channel resistance, a clear uptick in volume is required. Historically, volume spikes have preceded moves toward resistance, and that remains the key factor to watch. If XRP continues to hover near the current levels without an increase in volume, price may remain suppressed and trapped within the descending channel. You might also like: Ethereum bounces from key support: can It reclaim the $2,000 barrier? The structure itself still suggests a high time frame consolidation phase, with price action respecting both the value area low and high in repeated cycles. This ongoing rotation aligns well with auction market theory, which suggests that as long as support holds, the value area high remains the natural magnet. However, it’s important to recognize that without a confirmed breakout from the channel, price will likely continue to oscillate within the range, offering short- to medium-term trade setups but no definitive trend direction. What to expect in the coming price action If XRP maintains its position above the $2 value area low and volume begins to increase, a move toward the $2.30 range high is likely. This region also aligns with the 0.618 Fibonacci retracement level and descending channel resistance, making it a key technical target. Until a breakout occurs, expect price to remain rotational, with any rejection from the channel top potentially leading to another test of the range lows. Read more: Bitcoin price breaks bearish structure: is a higher low the launchpad to new highs?

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