The XRP price traded around $1.07 on Thursday, continuing to consolidate below a key descending trendline that has capped price action for months. The token remains stuck between a crucial support zone and overhead resistance, with the narrowing range signaling that a decisive move could be on the horizon.
While the broader trend has remained weak, traders are closely watching the $1.10 resistance level, as a breakout above it could shift market sentiment and open the door to further upside. Conversely, losing nearby support could expose XRP to another leg lower.
XRP Technical Analysis: Weekly Chart Nears a Critical Turning Point
XRP continued to trade within a descending triangle on the weekly timeframe, with the price hovering around $1.07. The token has consistently formed lower highs since its rejection from the yearly peak, while buyers have defended the $1.04-$1.05 support zone, keeping the broader consolidation intact.
The immediate resistance lies between $1.10 and $1.12, where the descending trendline intersects with a previous support-turned-resistance zone. A weekly close above this range could invalidate the recent sequence of lower highs and pave the way for a move toward $1.20, while a break below $1.04 could expose XRP to the next support near $0.93.
The RSI is hovering near 33, indicating that bearish momentum remains dominant, although selling pressure has eased compared with earlier declines. Meanwhile, the CMF remains below the zero line, suggesting capital outflows still outweigh inflows despite signs of stabilization. Together, these indicators point to weakening bearish momentum, but they have yet to confirm a sustained bullish reversal.
XRP Derivatives Data Signals Cautious Optimism
Beyond the price chart, XRP’s derivatives data points to a market waiting for a catalyst. CoinGlass’ liquidation heatmap shows a significant cluster of short liquidations stacked above the $1.10-$1.12 resistance zone. If buyers manage to push the token above this level, forced short liquidations could amplify buying pressure and accelerate XRP’s move toward the next resistance levels.
On the downside, long liquidation pockets are concentrated around $1.04 and below. A breakdown beneath this support could trigger another round of long liquidations, potentially extending XRP’s decline toward the $0.93 support zone.
Meanwhile, Open Interest (OI) has stabilized after declining sharply from its earlier highs, suggesting leveraged positions have cooled. While the recent uptick in OI indicates traders are gradually returning to the market, it remains well below previous peak levels. A sustained increase in both XRP’s price and Open Interest would indicate fresh capital entering the market, strengthening the case for a bullish breakout. Conversely, a price rally without a meaningful rise in OI could suggest the move is driven primarily by short covering rather than new buying interest.
Together, the liquidation heatmap and Open Interest data suggest traders are positioning for higher volatility, with the $1.10-$1.12 resistance zone likely to determine XRP’s next directional move.
XRP Price Outlook: Can Price Rise Above $1.2?
XRP price remains at a critical technical juncture, with price continuing to consolidate below a key descending trendline while holding above the $1.04 support zone. Although momentum indicators suggest selling pressure is easing, bulls still need to reclaim $1.10-$1.12 to confirm a shift in market structure.
A decisive breakout above this resistance, supported by rising volume and Open Interest, could trigger a short squeeze and open the door for a move toward $1.20 in the near term. If buying momentum strengthens further, XRP could extend its rally toward the $1.45 resistance level.
On the downside, failure to hold the $1.04 support could invalidate the bullish setup and expose XRP to the next support at $0.93. A deeper sell-off could see the token revisit the $0.75 zone if bearish momentum accelerates.
For now, the $1.10-$1.12 resistance and $1.04 support remain the key levels to watch, as a breakout from this range is likely to determine XRP’s next major move.
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