XRP Eyes Crucial $2.70 Support Before $3.70 Rally
XRP has fallen 6.4% in the last 30 days, sliding from its July 18 high of $3.65 to around $2.77. While Federal Reserve Chair Jerome Powell’s dovish shift and the prospect of a September rate cut support risk assets, XRP faces a critical test at the $2.70 support level. Crypto analyst Ali Martinez identifies a descending triangle pattern on the daily chart, with a flat support at $2.70 and a descending resistance line. A break below could trigger further declines, but a rebound would open a path above $2.90, aligning with the 50-day moving average and the 61.8% Fibonacci retracement. Such a move may propel XRP toward the triangle’s apex near $3.70, setting the stage for a potential Q4 upswing.
Bullish
XRP’s $2.70 support level is a key technical threshold. Holding above this mark would invalidate the descending triangle’s bearish implications and pave the way for a move past $2.90. Historically, altcoins consolidating around Fibonacci retracement levels have seen strong follow-through rallies, as evidenced by Ethereum’s 2023 rebound off its 61.8% retracement.
Moreover, the Federal Reserve’s dovish stance and the prospect of a September rate cut are likely to drive risk-on flows into cryptocurrencies. In the short term, a bounce at $2.70 could attract momentum traders targeting the triangle apex near $3.70. Over the longer term, sustained monetary easing and ETF developments may underpin further gains. These combined factors point to a bullish outlook for XRP, provided the crucial support holds.