XRP price will see $3.20 next if key support level is reclaimed — Analyst

XRP (XRP) continues to trade sideways between $2.85 and $2.30 as the US Securities and Exchange Commission (SEC) acknowledges a slew of XRP ETF filings. XRP price rebounded above $2.60 recently as several analysts highlighted the importance of breaking the $2.75-$2.80 area next. 

XRP price ascending triangle targets $3.20

Egrag Crypto, an XRP market analyst, highlighted that XRP was trading within an ascending triangle in the 12-hourly timeframe, as shown in the chart below.

According to the analyst, the price needs to “close above the apex” of the prevailing chart pattern at $2.75 to “continue the upward trajectory.” 

“Closing above this level will provide bullish confirmation to continue the upward trajectory, with a measured target of $3.20.”

Such a move would bring the total gains to 20% from the current level.

The analyst, however, cautioned that investors should be aware of a “potential bull trap” as the month comes to an end. 

“I believe we could see a significant correction starting mid-March, signaling the end of Wave 2 in our macro Elliott Wave count,” Egrag Crypto said, adding:

“Wave 3 is still ahead… so remember, you may not be bullish enough yet!”

Similar sentiments were shared by pseudonymous analyst Dom, who said that XRP price was required to flip the $2.80 level into support before making a run for $3.00.

A “key resistance sits at $2.82” for XRP, fellow analyst CasiTrades said in a Feb. 20 post on X, adding that another major barrier sits at $3.00.

“However, a clean breakout above $3 would signal that the correction is complete and a much larger move is on the table.”

Related: Brazil approves first spot XRP ETF as local bank eyes stablecoin on XRPL

XRP liquidity remains above $2.85

XRP has consolidated sideways since Feb. 3, with the overall trend leaning bullish. However, XRP/USD remains in limbo until the price breaks above $2.85 or below $2.30.

Currently, liquidity remains at both demand and supply areas for XRP, which means a break of these levels will likely dictate XRP’s ultimate direction.

With price testing the resistance at $2.85 twice over the last three weeks, the best scenario for XRP will be to breach this level and take the supply zone liquidity above it before rising toward $3.20.

With the SEC’s acknowledgment of more XRP ETF applications, the hopes of the altcoin moving higher in 2025 are increasing. 

Polly, an anonymous crypto commentator, believes that these acknowledgments are positioning XRP price for new all-time highs, predicting a “god candle” to $6.00.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.