XRP is currently caught in a consolidation phase, hovering around $2.6 after a failed attempt to push past the critical $3 resistance. Over the past few days, the cryptocurrency saw a strong rally, reaching as high as $2.9, before stumbling at $3, causing a 7.91% drop. However, it has since stabilized in a narrow range between $2.4 and $2.6, leaving traders wondering if XRP can break through the $3 barrier or if further consolidation lies ahead. Analyzing the gravity of the situation, Market analyst Dom reveals key sell and buy walls in XRP’s order books, hinting at potential price action in the coming days!
Massive Sell Walls Creating Resistance
According to him, XRP’s price is struggling to break past $3 due to massive sell orders on major exchanges like Binance and Coinbase. Binance alone has 34 million XRP in sell orders between $2.8 and $3.5, while Coinbase adds another 16 million. Together, these total 50 million XRP, creating a major hurdle for the price to climb higher. This shows that many traders expect strong resistance around the $3 mark, making it a tough level to break without a big surge in demand.
Another factor influencing XRP’s price action is the recent political situation in South Korea, where martial law has halted trading activity. Yet it is believed that once geo-political scenes improve XRP will regain its lost charm.
Support at Lower Price Levels
On the other hand, there’s solid support at lower price levels. Binance has 10 million XRP in buy walls between $1.9 and $2.3, and Coinbase shows 4.3 million XRP in the same range. Together, these buy walls total 14.3 million XRP, indicating strong demand at lower prices and suggesting that the downside risk might be limited in the short term.
Experts Weigh In
Dom further suggests that XRP’s current consolidation around $2.4 to $2.6 could set the stage for future rallies, provided it maintains stability in this range. However, breaking past $3 will require strong buying momentum and higher market activity. Adding to the optimism, Miles Deutscher called XRP’s 10-year chart one of the strongest in crypto, marked by dramatic spikes, steep falls, and long periods of inactivity. He hopes this rally mirrors 2021’s success rather than 2018’s decline.
Raoul Pal echoed the bullish sentiment, noting that the XRP chart has surged significantly after similar patterns in the past, indicating room for further growth.
In short, many experts have given their confidence in the XRP price and quoted that XRP may not go below $2 despite the legal matters however its path towards $3 is also not clear. Will XRP hit $3 before Jan in such scenarios? We will come to know.
