XRP attracted attention with sales that lasted for four consecutive days after the strong rise it achieved in the first days of 2026. The price, which reached $2.41 on January 6, dropped to $2.06 later in the week. The retreat, which lasted for the fifth day due to profit taking, brought oversold signals in technical indicators. Market actors are watching whether this technical outlook will pave the way for a new price movement.
Oversold Signal on XRP
Steph is Crypto, known for his technical analyzes in the cryptocurrency market, stated that XRP has entered the oversold zone in the short term. In the three-week XRP/USDT chart shared by the analyst, it is seen that the stochastic RSI indicator based on Binance data has fallen below the 25 level. In classical technical analysis, when the RSI falls below 30, it indicates that the selling pressure has reached saturation.
Past price movements also support this determination. When the same indicator reached similar lows in 2023 and 2024, XRP recorded strong increases of 256 percent and 857 percent, respectively. Although the analyst does not guarantee an exact repetition of historical examples, he emphasizes that the current outlook offers an important threshold for buyers.
Steph is Crypto also shared a more ambitious price target in a separate review. According to the analyst, XRP may reach the $5 level sooner than expected if market conditions are favorable. This expectation attracts more attention, especially with the recovery signals in technical indicators.
Momentum Change on Weekly Chart
Another notable development for XRP was that the RSI rose above its moving average again in the weekly time frame. According to the analyst, this breakdown usually occurs in periods when the market momentum shifts from sellers to buyers. Every similar breakout on the weekly chart since 2024 has resulted in significant price increases in subsequent weeks.
On the price front, XRP has been trading in a wide range between $1.77 and $2.41 since mid-November 2025. A five-day rally at the beginning of 2026 allowed the price to rise above the 50-day moving average, which has been a long-time pressure. Whether this level can be maintained as support in the short term will be decisive for the continuation of the rise.
The first critical threshold in upward movements stands out as $ 2.56. If this region is exceeded, the $3 and $3.5 targets may technically come to the agenda. On the other hand, developments continue on the corporate interest side. Evernorth, which operates in the field of health and insurance, announced that it is exploring usage areas focused on liquidity and treasury management together with Doppler Finance.
