XRP Rebounds From Channel Bottom, Analyst Says $2.60 Could Be Next

Overview

XRP has bounced off the lower level of a Parallel Channel, indicating potential upward movement towards its midpoint. An analyst has provided insights into the technical analysis pattern forming in XRP’s price action, highlighting the significance of this development in the cryptocurrency’s trading dynamics.

Technical Analysis of XRP

In a recent analysis, cryptocurrency analyst Ali Martinez discussed a technical pattern observed in the 3-day price chart of XRP. This pattern is identified as a “Parallel Channel,” which occurs when an asset’s price consolidates between two parallel trendlines. In this scenario, the upper level of the channel serves as resistance, while the lower line acts as support.

Martinez shared a chart illustrating the Parallel Channel that XRP has been trading within for the past year. In July, XRP experienced a failed breakout beyond the upper line of the channel, initiating a downtrend that led to a retest of the channel’s lower line in early November. Following this retest, XRP has shown signs of recovery, suggesting that the support level of the Parallel Channel is holding firm.

The analyst posits that XRP may now be moving towards the midpoint of the channel, which is perceived as a significant level for price action. However, the potential for continued upward movement remains uncertain, as there are factors that could influence the cryptocurrency’s trajectory.

Whale Activity and Market Sentiment

Martinez noted that large XRP holders, or whales, who possess between 1 million and 10 million tokens, engaged in distribution during XRP’s recent recovery. This selling activity resulted in a reduction of over 180 million tokens, valued at approximately $391 million, coinciding with a 17% price rally. This trend of profit-taking among whales could indicate that the sentiment among major traders remains cautious, despite the recent rebound in XRP’s price.

Impact on the crypto market

• The rebound from the lower Parallel Channel could influence trader sentiment and strategies regarding XRP.
• The observed whale activity may signal a cautious outlook among large investors, potentially impacting future price movements.
• The dynamics of support and resistance within the Parallel Channel could set the stage for future price fluctuations.
• Continued monitoring of whale activity may provide insights into market sentiment and potential price trends.
• The current consolidation phase of XRP may reflect broader trends in the cryptocurrency market, affecting investor behavior.

Updated: 11/27/2025, 4:31:32 AM