Crypto analyst Steph has highlighted an “interesting” chart pattern that previously preceded an XRP price rally. He suggests the altcoin may be forming a bottom before its next upward move.
In a post on X, Steph pointed to the 3-week XRP chart, noting that the Stochastic RSI has dropped to 0.00—an extremely rare occurrence that last happened during the 2022 bear market bottom. He explained that on such a high timeframe, this indicator only reaches zero when selling pressure is fully exhausted, which is positive for XRP’s price. While this signals that downward momentum has dried up, Steph cautioned that it doesn’t guarantee an immediate reversal.
The last time this signal appeared, XRP entered a prolonged accumulation phase before its next major rally. According to Steph, this again suggests downside risk is structurally limited and that long-term holders are absorbing supply rather than selling. He added that such signals typically mark cycle lows rather than short-term trading opportunities.
XRP ETFs also remain a positive factor, maintaining their inflow streak since launching on November 13. These funds now hold over $1.1 billion in net assets, reflecting continued institutional demand for XRP.
However, XRP remains below key technical levels. Analyst CryptoXLarge noted that on the weekly chart, the price is still under a descending trendline near the 8 to 21 EMA levels. This week, it is testing the key support zone around $1.95, which aligns with the Fibonacci 0.5 level and the 89-week EMA—a level that has held throughout the year.
A weekly close below $1.95 could increase the likelihood of a drop toward the $1.60 support level (Fibonacci 0.618). Conversely, a close above $1.95 could boost buying interest, potentially triggering a relief rally toward $2.30 and then $2.70. Analyst Crypto King echoed a similar view, suggesting that reclaiming $1.98 could eventually push XRP as high as $3.66.
At the time of writing, XRP is trading around $1.87, up slightly over the past 24 hours.
Frequently Asked Questions
Of course Here is a list of FAQs about the topic XRP Price Set to Soar Analyst Highlights Chart Pattern That Has Sparked Rallies Before designed to be clear and helpful for a range of readers
Beginner General Questions
1 What is this chart pattern the analyst is talking about
The analyst is likely referring to a specific technical pattern on XRPs price chart such as a symmetrical triangle falling wedge or cup and handle These are shapes formed by price movements that some traders believe can predict future price direction
2 Does this pattern guarantee XRPs price will go up
No it does not guarantee anything Chart patterns are tools used in technical analysis which is the study of past price action to try and forecast future movement They indicate a potential for a price surge based on historical precedents but they are not foolproof
3 Why would a chart pattern make the price go up
The idea is that these patterns often represent a period of consolidation followed by a breakout When the price breaks decisively above the patterns resistance level it can trigger a wave of buying from traders who follow this strategy potentially fueling a rally
4 Im new to crypto Should I buy XRP because of this
You should never invest based solely on one analysts chart reading Always do your own research Consider the broader market XRPs utility regulatory news and only invest what you can afford to lose This analysis is one piece of a much larger puzzle
5 What is XRP used for anyway
XRP is primarily designed as a digital asset for fast lowcost international payments and currency exchanges It is used by Ripple and its partners in financial institutions to settle crossborder transactions more efficiently than traditional systems like SWIFT
Intermediate Analytical Questions
6 What specific pattern is being highlighted and what were the past results For example if its a falling wedge the analyst would point to previous instances on XRPs chart where this pattern formed and was followed by a significant price increase citing the percentage gains and timeframe