XRP Tests $1.97 Resistance — Breakout or Rejection to Set Short-Term Direction

XRP is trading around $1.85–$1.95 and is retesting a descending trendline turned resistance near $1.97 after falling from early-January highs (~$2.40). A sustained daily close above $1.97–$2.00 (psychological level) and a break of the descending trendline with rising volume would shift short-term structure bullish; failure to clear $1.97 would reinforce the corrective/descending pattern. Recent technical signals show a modest breakout from a falling wedge, a weakening MACD selling histogram and early bullish convergence, but momentum is fragile and buyer confirmation is lacking. On-chain flows point to increased exchange inflows (about 130 million XRP to exchanges in January) and Binance’s XRP balance near 2.74 billion, while trading volume has fallen ~17% and open interest rose ~3% to $3.38 billion — suggesting position building and expectations of higher volatility. Key short-term supports: $1.85, $1.80, $1.77, $1.73 and $1.66. Key resistances: $1.965–$1.97, then $2.20 (short-term bullish confirmation), $2.50 and $3.00. Two practical trader approaches: cautious accumulation in the $1.80–$1.95 band with strict risk controls for longer-term buyers, or wait for a clear daily close above $2.20 with rising volume (and a trendline break) before increasing short-term exposure. Overall bias remains neutral-to-bearish until price reclaims $2.20–$2.50; treat current moves as range/correction trading rather than a confirmed trend reversal.