Traders expect XRP to consolidate around the $2.35 mark amid an ETF speculation wave.

Two leading ETF experts from Bloomberg, Eric Balchunas and James Seyffart, have just made an optimistic forecast: there is a 95% chance that the U.S. Securities and Exchange Commission (SEC) will greenlight ETF funds for XRP, Solana (SOL), and Litecoin (LTC) in 2025.

In this context, is the current accumulation phase of XRP quietly laying the groundwork for a spectacular breakout, or will the bears seize the opportunity to pull the price down to lower levels? Let's analyze the technical chart to find the answer.

XRP Price Prediction

The bulls have successfully pushed the price of XRP above the 50-day simple moving average (SMA) at the $2.24 mark during Monday's trading session. However, the long candle wick on the chart indicates that profit-taking pressure has significantly increased at higher price levels.

XRP/USDT Daily Chart | Source: TradingViewIn the short term, the 20-day Exponential Moving Average (EMA) at $2.17 will be an important support level to closely monitor. If the price strongly rebounds from this area, the likelihood of XRP breaking through the strong resistance at $2.35 will significantly increase. Once this level is breached, the XRP/USDT pair could extend its upward momentum to the $2.65 region.

Conversely, if the price falls below the 20-day EMA and stays below this level, it will be a signal indicating that the bears are gradually gaining the upper hand. At that point, selling pressure may push the price down to $2.06, or even further back to the key support level at $2. This is considered the "last fortress" of the bulls, as a decisive breach of this level may put the pair at risk of entering a deeper correction cycle, with the next target around the $1.61 area.

XRP/USDT Chart 4-hour | Source: TradingViewOn the 4-hour timeframe, the bears are showing high determination by continuously preventing the upward momentum at the resistance level of $2.35. Currently, the 50-period SMA serves as the nearest support. However, if the selling pressure continues to increase and breaks this level, the pair risks sliding deeper towards the $2.06 mark – a key support zone that the bulls must protect. Allowing a drop below $2.06 could trigger a new wave of sell-offs, pushing the price back to $2.

Conversely, if the price bounces off the 50-period SMA, the bulls may take advantage of the recovery momentum to push the price back toward the (neckline) of the inverse head and shoulders pattern. A clear breakout and a close above the neckline will activate the bullish pattern, opening up the possibility to conquer the next target at the $2.76 region.

SN_Nour