XRP could be setting up for a final, cleaner long entry if the broader market delivers another volatility-driven pullback, according to CryptoinsightUK’s Will Taylor, who says his favored ‘risk to reward’ zone is significantly below current support. The position hinges on Bitcoin printing a double-bottom style retest and dragging big alts into deeper liquidity pockets before the next leg moves higher.
In his January 10 newsletterTaylor described early 2026 as a market caught between two plausible paths: a familiar pullback-and-recover structure that has defined previous Bitcoin dips, or a continuation higher that would see potential buyers see the price run away.
“The question mark for me is whether we get a fuse below this rising trend line in that double bottom area and then push higher,” he wrote, adding that the setup is busy. “On the other hand, you think everyone is probably looking at the same structure and waiting for something like this to play out.”
Taylor said he made short-term trades during the week, not as a shift in his higher-timeframe view, but in response to what he described as low-timeframe and event risk conditions. “Today we get the ruling on tariffs in the US. Is that going to cause some volatility?” he asked, pointing to a cluster of geopolitical headlines as potential catalysts that could either trigger the pullback he’s looking forward to — or “mislead people… who are waiting for a pullback, and instead keep moving up from here and leaving those orders behind.”
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Taylor’s shorter-term trading framework relies heavily on liquidity positioning, using Ethereum as a key figure for what Bitcoin could do next. He argued that ETH “slightly favors the double bottom scenario” because “the amount of liquidity built up for ETH up to about $2,600” is heavier lower on the hourly chart than above, an imbalance he sees as a magnet if the market tries to rise without first clearing that downward interest.
A final buying opportunity for XRP?
That same logic can be found in his XRP plan. Taylor said XRP has already “hit the highs of the range first,” forcing a decision point between holding a tighter support band — its “first blue box” — or fading into a deeper demand zone.
“Now the discussion becomes whether we move to the first blue box as a weaker support area and hold there… or whether we move back to the deeper support zone around $1.90 to $1.82 and hold there,” he wrote. “That deeper area is my favorite risk and reward zone for placing long positions, and that is where I will look to get back into an XRP long and add to my position if we see that move specifically.”
He added that the daily RSI on
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Taylor then turned to a more stimulative medium-term narrative, citing “putting $200 billion into additional mortgage-backed securities purchases to lower mortgage rates,” along with suggestions about possible stimulus and the inflation sensitivity of oil prices.
“Because of all of this, I think we’re going to see an epic rally. I don’t think people are really expecting the size or scale of the movement that could come,” Taylor wrote. “I believe we are in the final shakeout period before the market really goes up.” He said he remained “about 95% exposed to the market through spot positions,” and described the decision to enter into short-term trades as “a capital protection mechanism.”
His minimum XRP price target is $3.40 and ranges as high as $4.40 based on medium-term liquidity. In the long term, he says the argument for the $8-$12 range is still valid, as reported last week.
Separate commentary in the newsletter from analyst @thecryptomann1 highlighted what a “confirmation” would look like for Bitcoin: a recovery of around $105,000, a breakthrough, and a successful retest. He cited “a tremendous amount of volume in this region” and alignment with the bull market’s support bands, arguing that regaining it would shift the outcome from a “relief rally” to something more sustainable.
He also pointed out USDT’s dominance on a multi-year trendline but showing weakness, including being “stuck below the 20 EMA” with RSI “below 50” and rolling into conditions that, if lower, could align with a risk breakout in majors.
At the time of writing, XRP was trading at $2.05.
Featured image created with DALL.E, chart from TradingView.com