XRP traders may need to brace for one more pullback before the token begins its next major uptrend.
Market analyst EGRAG CRYPTO suggests that a deeper correction could actually lay the groundwork for a stronger and more sustainable rally.
According to his latest breakdown, XRP is hovering in a critical range where the fair value gap (FVG) comes into play. This technical concept highlights areas where price action tends to “revert to fair value” over time. In XRP’s case, that could mean a revisit to the $2.35-2.40 zone, which EGRAG identifies as a potential magnet for price before the next surge higher.
Fair Value Gap and Market Structure
EGRAG argues that the healthier scenario for XRP is a final flush toward this support region rather than an immediate breakout. While a sharp pump is still possible, he warns that such a move could lead to an equally sharp correction. Instead, filling the gap would create a stronger foundation for the long-term bullish structure.
The analyst places a 70% probability on XRP dipping lower before the next run-up, with only a 30% chance of a direct push higher. By revisiting this lower level, XRP could establish a durable base that sets the stage for a more powerful leg up.
EGRAG continues to focus on the three-day chart, which he considers ideal for balancing short- and long-term perspectives. Historically, XRP has taken several months to fill similar gaps. In fact, the last major gap required around 129 days, suggesting that this move could potentially play out into mid-November.
Levels to Watch
The key levels highlighted include a possible dip toward $2.65 as a short-term testing zone. If that level holds, XRP may already be stabilizing. However, EGRAG maintains that the $2.30-2.40 range is the true area to watch, as filling this gap could mark the final bottom before a major breakout.
For XRP holders, this outlook emphasizes patience. Instead of focusing on quick pumps, the analysis suggests that a corrective dip could strengthen the token’s long-term trajectory. Should the fair value gap fill and act as a springboard, XRP may be poised for a significant advance in the months ahead.
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Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
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