XRP just entered a major crossroad; Will bulls or bears win?

XRP is clinging to fragile support at $3, with technical indicators suggesting the asset has reached a critical juncture that could push it in either direction.

According to cryptocurrency analyst Ali Martinez, XRP faces two potential scenarios that will shape its short-term trajectory. 

In an X post on September 11, Martinez noted that a break above the $3.05 resistance could spark a bullish surge toward $3.60. Alternatively, a pullback to $2.80 followed by a rebound through $2.90 could also set the stage for a rally toward the same $3.60 target.

Currently, XRP is pressing against a descending trendline that has capped rallies since late July. Fibonacci retracement levels also highlight $3.05 as a major resistance, while $2.80 remains a strong support. These levels now serve as pivotal points for traders gauging the next significant move.

If bulls manage a breakout, XRP could escape its prolonged downtrend and test multi-month highs. Failure to hold support, however, may trigger a bearish trap before any recovery attempt.

Notably, XRP is trading in step with the broader market as investors anticipate the possible rollout of a spot exchange-traded fund (EFT), which could attract institutional inflows. 

At the same time, retail interest is also rising, with CoinGlass data showing XRP futures open interest averaging $8.15 billion on September 11, up from $7.37 billion on Sunday. This surge in open interest reflects growing conviction in XRP’s ability to sustain its recovery. 

XRP price analysis 

At press time, the token was trading at $3.03, up more than 1% on the day and over 8% on the week.

At current levels, XRP hovers around its 50-day simple moving average (SMA) of $3.02 and comfortably above the 200-day SMA of $2.52, signaling medium-term bullish momentum. Meanwhile, the 14-day RSI at 53.51 points to a neutral stance, with no signs of overbought or oversold conditions.

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