XRP is confronting a critical test near the $2 level as a rare MACD golden cross appears on the five-day chart, suggesting a potential shift in momentum. While daily trading volume remains elevated, liquidity on exchanges has thinned, and inflows into spot XRP ETFs have provided additional buying pressure. The recent price action saw XRP reclaim the $2.10 level, but the key question remains whether the rally can be sustained above $2.00 to keep the bullish thesis intact. Analysts caution that a breach of the $2.00 support could undermine the current upside narrative, making the $2.27 resistance the next hurdle for a renewed move higher.
On the upside, a sustained push above that resistance could open a path toward the $3 region, especially if ETF activity remains supportive and liquidity conditions improve. In this context, traders are watching a rare 5-day MACD cross, which history shows has aligned with meaningful rallies when accompanied by solid volume. ETF inflows have helped support recent gains, though there have also been outflows, leaving the Market Value to Realized Value (MVRV) ratio around 1.04, a level that indicates most holders are not deeply in profit or overextended.
Market measures point to two zones that could precipitate swift moves: the range between $2.40 and $2.60, which contains many short positions that could trigger a short squeeze, and the $2.00 to $2.15 band known as the Wall of Pain, where long positions could yield a rapid price reaction if breached. A break above the $3.00 psychological barrier remains the ultimate goal for bulls this year, with sentiment turning more positive as buyers defend key support and the possibility of a move toward $3.26 materializes if the setup holds.
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