- TD Sequential flashes a bullish setup, hinting at a near-term XRP rebound after weeks of pressure.
- Whale activity dropped 57%, while major holders distributed 60M XRP during the past week.
- XRP wedge breakout above $2 could unlock long-term upside targets reaching $27.68.
XRP remains under pressure after a week of losses, yet several technical indicators suggest that a potential rebound may be forming. The digital asset currently trades at $1.11, down 0.73% over the past 24 hours and 5.46% during the last seven days.
Despite the recent weakness, traders continue to monitor key technical signals that could determine XRP’s next major move. While some analysts see the possibility of a short-term recovery, others believe the broader trend still requires stronger confirmation before a sustained rally can begin.
Technical Setup Signals Potential Rebound
Ali Martinez recently highlighted a fresh buy signal on XRP’s three-day chart. The TD Sequential indicator flashed a bullish setup, which historically precedes a brief recovery phase lasting between one and four candles. Consequently, the signal suggests that XRP could experience short-term upside after weeks of market compression.
However, the broader market picture remains mixed. XRP has struggled to build momentum despite maintaining a market capitalization above $69 billion. Additionally, trading volume remains elevated at more than $1.8 billion, indicating that investors continue to actively reposition.
Market participants often view high-timeframe TD Sequential signals as reliable indicators of temporary trend reversals. Nevertheless, traders typically seek confirmation from other metrics before committing to larger positions.
Whale Activity Raises Concerns
While technical indicators point toward a possible rebound, on-chain data presents a different narrative. According to Martinez, large-scale whale activity across the XRP network has fallen by 57.3%. Moreover, the whales that remain active have continued reducing their holdings rather than accumulating.
Recent data shows that major holders distributed approximately 60 million XRP during the past week. This behavior contrasts with the accumulation patterns that usually accompany the early stages of strong bullish trends. Hence, some investors remain cautious despite the appearance of a buy signal.
Several market observers now identify the $0.90 area as a potentially stronger accumulation zone. This level aligns with a long-term rising trendline that has supported XRP’s market structure for nearly eight years.
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Larger Breakout Targets Remain in Focus
Meanwhile, EGRAG CRYPTO points to a broader technical framework that combines multiple indicators. The analyst highlights the convergence of Fibonacci circles, Fibonacci channels, Fibonacci extensions, and a falling wedge pattern. Together, these signals create a major decision zone for XRP.
Currently, XRP continues to compress within the wedge structure. If buyers reclaim the $1.66 to $2.00 range, significantly higher targets could come into play. The projected upside levels include $8.48, $13.70, $18.06, and ultimately $27.68.
However, the bullish scenario requires confirmation. If XRP fails to break above wedge resistance, the asset could revisit support levels near $1.21, $0.90, or even $0.60. Consequently, traders continue watching for a decisive breakout before anticipating the next major trend.
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