XRP Breakout Looms After MVRV Golden Cross & 46% NVT Drop
XRP is trading at $3.32 after its MVRV ratio topped realized value, marking a golden cross that historically preceded rallies of 600% or more. Meanwhile, the NVT ratio has fallen 46% to 95.88, reflecting improved on-chain efficiency and strengthening bullish momentum.
Technically, XRP faces resistance at the 0.618 Fibonacci retracement near $3.30, with key barriers at $3.46 and $3.66. A clear break above $3.46 on sustained volume could open the path toward $4.23. Traders should watch for increased buying pressure to overcome supply at these levels.
On-chain data highlight a potential short squeeze, with $3.03m of short positions liquidated compared to $290k of longs. Binance heatmap shows liquidity clustered between $3.40 and $3.48, making this zone critical for a decisive breakout.
Bullish
This news is bullish for XRP. The reappearance of the MVRV golden cross suggests that market value has outpaced realized cost, a signal historically linked to major price surges. The 46% drop in the NVT ratio further confirms improved network efficiency and growing on-chain activity. On-chain liquidations have wiped out $3.03m of shorts versus only $290k of longs, indicating potential for a short squeeze that could accelerate upward momentum. Technically, key Fibonacci resistance levels at $3.46 and $3.66 need to be breached on strong volume, with a break above $3.46 opening a clear path to $4.23. In the short term, traders should monitor buying volume and liquidity clusters to time entry; a successful breakout could fuel further gains. Over the longer term, sustained demand and continued low NVT readings may support a broader uptrend.