XRP rocket fuel: $3 support holds the key to liftoff

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Amid most assets in the cryptocurrency market consolidating after a period of positive activity, a recent analysis suggests that as long as XRP remains above the critical $3 support level on the daily and three-day time frames, bullish momentum could push prices significantly higher.

As it happens, XRP has been demonstrating a classic symmetrical triangle pattern, typically a continuation setup in technical analysis, since early July, and is now nearing its apex, signaling an imminent decisive move, per an analysis by crypto expert Egrag Crypto shared in an X post on September 19.

Symmetrical triangle signals next big move

According to the analyst’s expectations, a short-term dip to the $2.90 – $2.95 range remains possible, but holding the $3 mark is key to sustaining bullish sentiment. At the same time, he has identified several important levels to watch.

Immediate support sits just above $3, where the retest edge could provide a springboard for upward movement. If momentum holds, XRP’s first major target lies around $3.33 – $3.40, followed by a potential extension toward $4.20, a level projected from the 1.414 Fibonacci extension.

Risk levels to watch below $3

On the downside, a decisive close below $3 could shift sentiment quickly. Specifically, the chart outlines possible pullback levels at $2.80, $2.55, and $2, with the latter being a worst-case scenario if bearish pressure accelerates. Such a breakdown would not only negate the symmetrical triangle’s bullish setup but also undermine broader optimism in the XRP market.

Indeed, technical indicators further reinforce the importance of the $3 threshold. The 21-day EMA and 33-day EMA are currently providing dynamic support, with the shorter-term average trending above the longer-term line – a signal often interpreted as bullish momentum.

For the time being, XRP is trading at the price of $3.02, suggesting a decline of 2.88% in the last 24 hours, as well as dropping 0.62% across the previous seven days, albeit recording an accumulated increase of 4.86% on its monthly chart, per the latest data.

All things considered, traders’ eyes remain on whether XRP can maintain its footing above $3. A successful defense could fuel the next leg higher, while a breakdown risks triggering cascading sell pressure.