XRP Bullish RSI Divergence Points to Potential Rebound; $2.70 Resistance Key
ChartNerd, a crypto analyst on X (formerly Twitter), identifies a multi-month bullish RSI-price divergence on XRP that began after price weakened from its July high. Price formed a descending-triangle structure, lost horizontal support in October and made lower lows while RSI has produced higher lows since that October low — a classic momentum divergence signaling waning selling pressure. Key technical details: XRP repeatedly failed near the ~$2.70 resistance during rallies and is trading within a narrowing range bounded by a descending resistance and a lower trendline. The divergence remains intact so long as the RSI does not drop beneath the October low and XRP respects the lower trendline. Trading implications for traders: a clean breakout above the descending resistance could target a retest of the $2.70 area, while a decisive break below the lower trendline would likely delay any sustained recovery. This is technical analysis, not financial advice.
Bullish
The combined reports describe a valid bullish RSI-price divergence on XRP: price has made lower lows while RSI has made higher lows since October, indicating weakening selling momentum. For traders this sets up an asymmetric risk-reward: a clean breakout above the descending resistance would likely accelerate buying and target prior resistance around $2.70, producing a short- to medium-term bullish move. Conversely, the setup has a clear invalidation point — RSI falling below the October low or a decisive break under the lower trendline would negate the divergence and likely keep XRP bearish. Short-term impact: heightened volatility around trendline tests and breakout attempts, with possible quick long trades on a confirmed breakout. Medium-term impact: if breakout holds, technical retests and mean-reversion toward $2.70 become more probable. Overall the signal favors buyers so long as the RSI and trendline conditions hold, but risk management is critical because failure to hold the lower trendline would shift outlook back to bearish.