XRP News Today: XRP’s Downtrend Hides Bullish Onchain Setup for Q4 Rebound

XRP has experienced a 20% decline over the past 45 days, with its price consolidating within a descending triangle pattern near $2.70 support. Despite this downtrend, onchain and futures data indicate signs of potential stabilization. The token’s leverage ratio on Binance has normalized to its yearly average, reducing the risk of cascading liquidations and supporting price resilience. Additionally, net taker volume has shifted closer to a neutral balance, suggesting early accumulation by long-term holders. Aggregated spot cumulative volume delta (CVD) has also shown an uptick, reinforcing the possibility of buyer dominance.

Futures positioning and funding rates provide further insight into market sentiment. Aggregated futures CVD has declined, while funding rates have normalized to quarterly levels, indicating that overly crowded positions have been unwound. This suggests a reduction in speculative pressure and a potential shift toward more balanced market conditions. The open interest in XRP futures has also fallen from $11 billion to $7.5 billion during this period, reflecting reduced leverage and speculative exposure among traders.

Technical analysis highlights a key price level between $2.35 and $2.65 as a potential fair value gap. This zone aligns with Fibonacci retracement levels of 0.5 to 0.618, historically strengthening the probability of price stabilization and a rebound. A break below $2.70 could bring XRP into this range, where a reaction is more likely. This confluence of indicators reinforces the potential for a 60% to 85% rebound by Q4, according to Cointelegraph’s analysis. The market structure also resembles a Q1 fractal pattern, which has historically preceded sharp breakouts.

Crypto analyst Javon Marks has also highlighted a bullish outlook, noting that XRP remains above a critical $2.47 support level. “As long as this level holds, prices may only be prepping for another +66% upside,” he stated. Marks’ target price of $4.80 is contingent on XRP maintaining its position above this key threshold. This reinforces the broader notion that, while the short-term trend remains bearish, the underlying structure and positioning suggest a possible reversal in the coming months.

Despite these bullish signals, it is important to emphasize that the crypto market remains highly volatile, and any price movement is subject to broader macroeconomic and regulatory factors. Investors are urged to conduct their own due diligence and consider the inherent risks associated with trading and holding digital assets. The potential for 60% to 85% gains in XRP by Q4 is based on technical and onchain indicators, not financial advice.

Source: [1] XRP stuck in downtrend, but 3 data points forecast 85% ... (https://cointelegraph.com/news/xrp-downtrend-extends-but-data-predicts-85percent-bounce)