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After months of slow sideways price action, XRP is starting to show some life. A mini-golden cross, a possible technical signal that could change market sentiment more quickly than anticipated, may be approaching. XRP has successfully broken above its descending wedge pattern, which has been stifling price action since February and is currently trading at about $2.28. What is more is that it is currently trading above all of its main moving averages, including the 200 EMA, 100 EMA and 50 EMA.
That is a bullish sign in and of itself. This is made even more intriguing by the fact that a classic mini-golden cross is about to be formed as the 50 EMA approaches, crossing above the 100 EMA. Even though it is not as well-known as the 50/200 EMA golden cross, the 50/100 cross is still a reliable medium-term bullish signal, particularly for altcoins that move quickly like XRP.
In the early stages of rallies, XRP has historically lagged behind Bitcoin and Ethereum, but it frequently catches up in a parabolic fashion. If general market conditions continue, the alignment of these moving averages suggests that XRP may be getting ready for a move along these lines.
From here the key levels to keep an eye on are $2.30, which represents immediate resistance, and $2.50, which represents the next structural and psychological barrier. The $3.00 zone, where XRP has historically experienced high volume congestion, would be accessible with a breakout above $2.50. The volume is steadily increasing and is not yet explosive, which is encouraging.
There is still potential for further upside as the RSI is likewise trending upward but is not yet overbought. For XRP to maintain its bullish momentum in the near future, it must remain above $2.20. Should the price drop below that level, the golden cross pattern would be weakened and might even push the price back toward $2.
The bottom line is that XRP is preparing for a change in momentum. XRP may be in for a steep run toward $3 sooner than most anticipate if the mini-golden cross is confirmed and volume continues.
Vladislav Sopov
Dan Burgin