Ripple’s native token, XRP, is once again at the center of market speculation as it edges toward a critical resistance. Over the last 24 hours, XRP has declined 2.62%, trading near $2.96. Yet, despite this, the token remains trapped in a well-defined descending channel. With price action pressing against the channel’s ceiling, the big question is whether bulls can break free above the $3 threshold or if sellers will maintain their grip.
The Channel That Refuses to Break
For weeks, XRP has moved within the confines of a downward-sloping channel. Each attempt to climb higher has been met with resistance at the channel’s upper boundary, while sellers have consistently pushed price back down. Now, XRP is once again pressing against this barrier, making it one of the most decisive moments in recent trading history. A breakout above would signal a potential shift in market momentum, but a rejection could drag the token back toward lower support.
Will Bulls Succeed the $3.05 Price Level Push?
The market is zeroed in on several critical levels. The upper boundary of the channel, sitting between $3.00 and $3.05, has become a stubborn ceiling that buyers have repeatedly failed to break. Beneath the price, $2.83 continues to act as a solid support, repeatedly cushioning declines and preventing sellers from driving XRP lower. If bulls can push decisively above $3.05, the path opens toward $3.10 and $3.35, zones where the token has faced resistance before. A clean move beyond $3.35 would be especially important, as it would mark a potential exit from the bearish structure that has weighed on XRP throughout August.
Adding to the intrigue, XRP has seen an impressive 118% surge in trading volume over the past 24 hours, with activity climbing to a staggering $7.5 billion.
EMA Clusters Add Pressure
The Exponential Moving Averages (20, 50, 100, and 200) are all clustered tightly between $2.99 and $3.03, effectively creating a wall of resistance directly above XRP’s current price. This rare alignment highlights the tug-of-war between bulls and bears. For buyers, reclaiming these averages would represent a momentum shift, while failure to climb above them could reinforce the ongoing bearish channel. In short, the EMAs are acting as both a barrier and a guidepost, emphasizing just how critical the $3 level has become.
Related article: Ripple’s XRP Loses Grip on $3 Mark: Is a Bigger Move Ahead?
Despite a steady rise in price over the past 24 hours, XRP’s trading volume has not seen the kind of surge that typically accompanies major breakouts. This muted volume suggests that traders are waiting for confirmation before committing to larger positions. Sentiment tilts cautiously bullish, but the lack of decisive volume shows that the market is still hesitant. Until XRP clears $3 with strong participation, traders are likely to remain on the sidelines, watching for a definitive signal.
In the coming 24 hours, XRP faces a test of strength. If bulls can drive the token above the descending channel and keep it above $3, a rally toward $3.10 and eventually $3.35 could unfold quickly. However, should the breakout fail, XRP risks sliding back toward the $2.83 floor, keeping it locked in its bearish structure for longer.
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