XRP News Today: XRP's Spinning Bottom: A Battle Between Bulls and Bears Intensifies

XRP has recently formed a technical candlestick pattern known as a "spinning bottom," which is often interpreted as an early indication of a bullish reversal following a prolonged downturn. Over the past several weeks, XRP’s price has declined by more than 20%, falling from an all-time high of $3.65 in mid-July to a recent low of $2.7. The pattern is characterized by wide price swings but a closing price near its opening level, indicating that both bullish and bearish forces have been active without a clear winner. This dynamic is particularly notable near key support levels, where the pattern is considered a more reliable sign of weakening bearish momentum [1].

The formation of the spinning bottom is one of several indicators drawing attention to XRP's technical setup. Analysts generally wait for confirmation of a reversal by observing a green candle that closes above the pattern’s high. In the case of XRP, the next key resistance level lies at $2.9, which represents a critical threshold for a potential upward move. Should the price successfully break through this level, it could signal the beginning of a new bullish trend, with some forecasts projecting a price target as high as $6, albeit based on speculative analysis rather than confirmed technical signals [1].

A further bullish signal has emerged from the TD Sequential indicator, a tool used by technical traders to identify potential countertrend reversals. According to analyst Ali Martinez, the indicator has flashed "back-to-back buy signals" on XRP, suggesting that a rebound setup is currently in play. Martinez, who has a large following on social media platforms, emphasized the significance of these signals in the context of XRP’s broader consolidation phase. His analysis aligns with the broader technical view that bears may be losing control of the price action, particularly given the recent accumulation activity by large holders [1].

Whale activity and market liquidity also point to a potentially favorable environment for a price rebound. Over the past two weeks, approximately 340 million XRP has been accumulated by whales, which has contributed to a reduction in on-exchange liquidity. Specifically, $268 million was withdrawn from exchanges during this period, potentially indicating long-term buying intentions among institutional or large retail investors. Additionally, derivatives open interest has shown a positive trend, reinforcing the idea that buyers are stepping into the market to stabilize or push the price higher [2].

The 12-hour chart analysis of XRP further supports this narrative, with short-term price targets set between $2.85 and $2.90. A sustained move above $3.00 would be a strong signal that the broader market is regaining confidence in XRP. Analysts have noted that while technical indicators such as the spinning bottom and TD Sequential provide guidance, they do not guarantee a reversal. However, when combined with on-chain activity and market sentiment, these signals can provide a compelling case for a near-term bullish outlook [2].

Source: [1] Ripple Forms Spinning Bottom Pattern: What Does it Mean for XRP’s Price? (https://cryptopotato.com/ripple-forms-spinning-bottom-pattern-what-does-it-mean-for-xrps-price/) [2] XRP Set for Recovery as TD Sequential Indicates (https://intellectia.ai/news/crypto/xrp-rebound-in-play-as-td-sequential-flashes-backtoback-buy-signals)