Market analyst Egrag Crypto said the XRP price structure remains largely bullish despite the cryptocurrency’s recent struggle to break above $2. The analyst has presented a chart analysis showing that XRP is slowly approaching a key decision zone that could determine its value next upward movement and push it firmly out of the current consolidation.
XRP price structure is still bullish
On Wednesday, January 14, Eggrag Crypto said the XRP 3-day chart shows clear, strong signals. He stated that XRP remains structurally bullish despite subsequent long periods of consolidation the last rebound above $2 this year. According to the analyst, the price of XRP is currently compress within a descending channel as it gets closer to a key decision zone between USD 2.30 and USD 2.40. He explained that this type of compression often occurs after a strong move and can lead to a larger price increase.
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In his post on He revealed that the 50 Exponential Moving Average (EMA) is starting to level off, indicating that selling pressure for XRP may be easing. At the same time, the 200EMA continues to rise, supporting the analyst’s view that the macro trend for XRP is still bullish.
Egrag Crypto also highlighted that XRP is above the EMA cluster, which is a sign of structural strength rather than weakness. He highlighted that the upper limit of the descending channel lines up exactly with the critical resistance areas at $2.3, marked by a red line on the chart.
With these four developments happening simultaneously on the XRP chart, Egrag Crypto shared insights into their potential price impacts. He stated that a clean three-day close above $2.40 would likely confirm XRP’s breakout from the descending channel. Based on the chart structure, he added that such a move could open the door for a continuation towards the USD 2.70 and USD 3.13 levels.
If XRP is rejected due to channel resistance, Egrag Crypto has said the price will likely hold range-bound. He concluded his analysis by emphasizing that as long as XRP continues to trade above $2.0, the bullish structure will remain intact. ongoing consolidation phase should be viewed as a period of compression ahead of a potential major price increase.
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Chart may be signaling a deeper downtrend
In the chart of Egrag Crypto, the lower boundary of the descending channel touches a key support area, marked by a white line. This could mean that if XRP fails to hold $2 and falls even below that, this could negate the analyst’s bullish thesis and trigger a decline towards the next support level at $1.65, representing a decline of around 17.5% from current prices.
If the price falls further below $1.65, XRP can crash towards the last marked support level of just around $1.0, reflecting a decline of around 50% from around $2.1.
Featured image created with Dall.E, chart from Tradingview.com