XRPâs recent grind higher has taken it straight into a critical resistance cluster near the $2.50 mark. Despite the bounce, volume has remained low, a warning sign that this move may lack the strength needed to sustain itself without a shift in momentum. Letâs break down why this zone is so crucial.
Over the last few weeks, Ripple (XRP) has been trading within a clearly defined ascending channel, with price bouncing from the channel low almost to the dollar. While this technical respect of structure is a positive sign, itâs also worth noting that volume has remained significantly muted. The absence of strong buying interest from large participants ,such as institutions or whales, suggests the rally may be more passive than aggressive, lacking real conviction.
The $2.50 level is where several powerful indicators converge: the 0.618 Fibonacci retracement, the Volume Weighted Average Price, and the Point of Control from the current trading range. This creates a cluster of resistance thatâs both technically significant and psychologically relevant, making it a likely spot for rejection if momentum doesnât shift quickly.
Looking back at recent price action, XRP previously faked a breakout above its range high, closing multiple candles above resistance only to be dragged back inside the range, a textbook deviation. That same behavior may now be forming on the support side. If price were to break below the channel low only to reclaim it with force, it could mirror this deviation structure and signal a strong swing entry opportunity.
Currently, this downside deviation hasnât materialized, but if resistance at $2.50 continues to hold and sellers step in, the probability of this setup increases. A clear rejection could send XRP back down to the channelâs lower bounds, potentially offering another opportunity for bulls if support holds again.
Until XRP breaks above $2.50 with strong volume and confirmation, this region remains a brick wall. A rejection here could push price back toward support, but if bulls manage a decisive breakout above this confluence, it would open the door to much higher prices. For now, watch volume closely. It will be the first clue as to whether XRP is ready to run or retreat.