Is XRP about to break through a key resistance level? Three major signals suggest a potential rebound

Source: DigitalToday Original Title: XRP, When will the frustrating sideways movement end… 3 Strong Signs of Rebound Original Link:

The XRP price has been in consolidation for several weeks, testing investors’ patience. Meanwhile, multiple technical indicators suggest the possibility of a rebound.

According to blockchain media reports, XRP has fallen approximately 18% over the past month, with a nearly 4% decline in the last 24 hours. Most of the time, XRP has been trading within a narrow range, showing a frustrating sideways trend.

However, analysts point out that this movement is different from previous patterns. Chart signals and changes in holder behavior hint at a potential upward trend. Technical analysis teams have identified three strong rebound signals in XRP’s short-term decline.

Buying Pressure Surges Signal

XRP has been trading between $2.28 and $1.98 since late November. This range indicates that buyers and sellers are at nearly equal levels. However, recent signals have emerged below this range—the price touched the lower trendline of a symmetrical triangle. Symmetrical triangles typically form when price action slows at similar rates on both sides, often indicating a period of increased volatility ahead.

Strong clues related to this can be found in volume trends. From December 6 to December 11, the price hit new lows, but on-chain balance indicators (OBV) reached new highs. OBV is a technical indicator used to measure buying and selling pressure, predicting momentum based on volume changes. Rising OBV during price declines suggests hidden accumulation, implying that even during weak chart signals, some buyers are accumulating at low levels. This is a sign that the probability of a rebound is increasing.

Selling Pressure Continues to Diminish

For a clear rebound to occur, selling pressure needs to decrease. Recently, long-term XRP holders significantly reduced their sell-offs. This group sold 110.8 million XRP on December 3, but by December 10, it decreased to 51.15 million, a drop of about 49%. Although still net sellers, the selling pressure has eased considerably.

This trend is also evident among the fastest-moving wallets. Short-term holders typically sell during rebounds, weakening upward momentum, but this time they are reducing supply. According to the HODL wave indicator, 24-hour holders held 1.89% of supply on December 2, decreasing to 0.22% by December 10. Holders between 1 day and 1 week decreased from 3.88% on December 4 to 1.24% on December 10. This indicates that speculative selling pressure for the rebound is diminishing. As long-term holders sell less, and ultra-short-term holders (speculative funds) exit the market, the likelihood of a sustained rebound increases significantly.

Confirmation of XRP Rebound and Critical Price Range Breakdown

XRP is currently trading around $2, still within the $1.98 to $2.28 range. To gain momentum, the rebound must first break through $2.17. This level represents an approximate 8.37% increase and is considered a key threshold for triggering the next upward wave. If the daily close surpasses this level, the price is likely to reach above $2.28. Conversely, downside risk is also close at hand. If the daily close falls below $1.98, the entire upward structure will be weakened. If this level is breached, the chart could drop to around $1.88.