XRP’s Multi‑Month EMA Retest Sets Up Critical Turning Point
XRP is undergoing a multi-month consolidation that traders say may determine its next major trend. Technical analyst ChartNerd highlighted a three‑month pullback toward the three‑month 20‑EMA, a level that historically has acted as a trend gauge for XRP. Price remains above the three‑month 20‑EMA (around $1.20) — the key invalidation point — while near-term resistance sits in the low $3s and support in the $1.75–$2.10 band. Recent spot XRP ETF inflows have added liquidity and reduced exchange supply, while on‑chain data shows falling exchange balances and continued accumulation by long‑term holders. Analysts argue the structure stays bullish as long as monthly closes hold above the three‑month 20‑EMA; a decisive monthly close below it would indicate deeper consolidation or a larger retracement. Traders are watching the next monthly candle closely because ETF rebalancing and liquidity shifts could trigger sharp swings.
Bullish
The article describes structural factors that favor bulls: price remains above the three‑month 20‑EMA (the defined invalidation level), ETF inflows have reduced exchange supply, and on‑chain data shows accumulation by long‑term holders. Historically, similar EMA retests preceded strong rallies for XRP, and the current setup mirrors that pattern. Short term, volatility could rise as ETFs rebalance and liquidity shifts may cause sharp swings; a monthly close below the 3‑month 20‑EMA would flip the bias to neutral/bearish. But as long as the EMA holds, the probability of an eventual bullish continuation is higher, which supports a bullish classification for traders positioning for a breakout while managing risk at the EMA and the $1.75–$2.10 support band.