After Hitting a Local Low, XRP Builds Momentum for a Potential 11% Rally

Jakarta, Pintu News – XRP (XRP) has continued to come under pressure since the beginning of the month, entering a sustained downward trend until it hit a monthly low.

Although this decline looks bearish to the naked eye, historical behavior suggests that this phase may signal trend exhaustion rather than continuation. Such patterns often precede a reversal when selling pressure begins to weaken and the accumulation process begins.

XRP Holders Show Bullish Signals

On-chain data shows increasing confidence among long-term holders. XRP’ s Liveliness metric has seen a sharp decline over the past six weeks and is now at its lowest point in two months. Liveliness measures whether holders are spending more or saving more. A declining value indicates accumulation, not distribution.

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Long-term holders usually have a major influence on price direction during correction phases. Continued accumulation from this group reduces circulating supply and suppresses selling pressure.

In the context of XRP, this behavior suggests that conviction remains strong despite the price weakness, increasing the chances of a recovery once general market sentiment begins to improve.

Momentum indicators also reinforce the reversal narrative. The Relative Strength Index (RSI) recently bounced off the oversold zone after briefly dipping below the 30 threshold. The RSI is used to track momentum extremes, where oversold conditions often mark a local bottom rather than a point of continued decline.

XRP’s entry into oversold territory reflects the sell-off ofweaker hands. The subsequent price bounce indicates that the selling pressure is starting to ease.

Assets coming out of oversold conditions generally attempt a short-term recovery, especially when supported by accumulation from long-term holders.

XRP Price Potentially Experiencing a Breakout

Since the beginning of this month, XRP has been trading in a descending wedge pattern. This pattern is usually considered bullish as it reflects weakening downward momentum. Breakouts from such structures often occur when the pressure from sellers starts to weaken and buyers take back control.

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This wedge pattern projects a potential upside of about 11.7% upon confirmation of the breakout. With XRP trading around $1.87, the technical target is around $2.10. A more conservative scenario places the breakout confirmation at $2.03, which would confirm an upside move and indicate strengthening momentum.

However, this bullish scenario could weaken if the price fails to break the upper boundary of the wedge pattern. If the bearish pressure continues, XRP could drop towards $1.79. A deeper drop could even take the price to $1.75, which would invalidate the reversal setup and strengthen the overall downtrend.

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*Disclaimer

This content aims to enrich readers’ information. Pintu collects this information from various relevant sources and is not influenced by outside parties. Note that an asset’s past performance does not determine its projected future performance. Crypto trading activities are subject to high risk and volatility, always do your own research and use cold hard cash before investing. All activities of buying and selling Bitcoin and other crypto asset investments are the responsibility of the reader.

Reference:

• BeInCrypto. XRP Price Hits Local Bottom. Accessed on January 27, 2026