XRP has climbed back above $1, and the daily chart still shows a broader downtrend intact. On the shorter 4-hour timeframe, though, a bullish RSI divergence hints that sellers may be running out of steam.
XRP is trading back above the $1 mark, but the token remains inside the large descending channel that has governed its price action for several months, with a sequence of lower highs still intact. The rebound has yet to break that structure, so the recovery reads as tentative rather than confirmed.
Daily chart still favors sellers
On the daily timeframe, resistance sits around $1.11 to $1.15, a zone that has already rejected several recovery attempts. Above that, the descending channel's upper boundary converges near $1.20, and the $1.24 to $1.29 supply zone stands as the next major obstacle. Until XRP clears these areas, rallies remain corrective within the broader downtrend.
The downside picture centers on the $0.88 to $0.97 demand zone, the most significant support area on the daily chart. A break below that zone would expose XRP to a continuation toward the lower boundary of the descending channel.
A bullish signal on the four-hour chart
The shorter-term picture looks more nuanced. XRP has lost the former $1.02 to $1.03 support zone, which has since flipped into resistance, and the decline has pushed price back toward $1, where momentum is compressing.
However, a potential bullish RSI divergence is forming: XRP keeps printing lower lows while the RSI prints higher lows, a sign that selling pressure may be weakening. That divergence alone does not confirm a reversal — XRP still trades beneath its descending trendline — but it raises the odds of a short-term bounce.
A break above that trendline and a reclaim of the $1.02 to $1.03 zone could open the way toward the $1.06 to $1.07 supply area. Failure to build on the divergence, on the other hand, keeps the $0.94 to $0.97 region in play as the next major support.
Source: CryptoPotato
Trading involves risk.
Risk Disclaimer
