While XRP attempts to hold a crucial area, some analysts have pointed to key indicators that could dictate whether the recent pullback is temporary or marks the start of a deeper correction.
XRP Rally Faces Critical ResistanceOn Tuesday, XRP continued its recent decline, falling to the $1.35 area, its lowest level since late April. The cryptocurrency has been trading between $1.36 and $1.50 over the past month, attempting to break out of the upper boundary on multiple occasions.
He pointed out that the weekly 20 and 50 EMAs, sitting at $1.50 and $1.80, are two crucial resistance levels that had not been retested since their January 2026 crossover, which led to XRP’s drop to its February low of $1.11.
After the recent rally to $1.54, the price has now retested the weekly 20 EMA for the first time since the January crossover. A failure to successfully break above this level and turn it into sustained support “will likely open the next leg down later this year,” the analyst said.
‘Next Big Move’ Targets $1?Even if the altcoin breaks toward $1.80, the analyst considers that the price will likely fail to hold it long-term and “at least come back to, at a minimum, fill in most of this wick back down towards the lower dollar levels.”
He has explained that a rejection from these EMAs could potentially send the altcoin toward a cycle bottom of $0.70, as it is a previous level of macro resistance that hasn’t been retested yet.
He noted that when volatility compresses this tightly, “it’s a signal that a violent price expansion is approaching.” Therefore, the market observer advised investors to wait for a clean three-day candlestick close out of XRP’s current range, between $1.29 and $1.50, to confirm the next major trend direction.
