After a volatile weekend that sent XRP plunging to $1.90, the token rebounded sharply to begin the week. Monday’s 10% intraday surge breathed life back into bullish sentiment, but by Tuesday, the rally stalled just below $2.20—a critical resistance point that now acts as a psychological wall for traders.

At the time of writing, XRP trades at $2.18, down slightly over the past 24 hours. More importantly, trading volume has dropped over 45%, signaling a cooling period as both bulls and bears step back, unsure of the next move.

Indecision or Setup?
Technical indicators currently sit in neutral territory. The daily RSI hovers near 50, showing no clear momentum in either direction. However, chart patterns suggest that a breakout—up or down—could be imminent.

A clean break above $2.20 would put $2.26 (SMA 50) and $2.37 (SMA 200) in sight, with $2.65 looming as the next psychological target. On the downside, failure to hold $2.00 could send XRP back to $1.75, particularly if volume continues to shrink.

Behind the Scenes: Ledger Update
Adding to the backdrop is the launch of XRP Ledger v2.5.0, introducing key enhancements like batch transactions and escrow support for IOUs. While not immediately price-moving, these updates could boost long-term adoption and utility.

Conclusion
XRP’s current consolidation reflects hesitation—but also potential energy building beneath the surface. If historical patterns are any guide, sharp pullbacks followed by quiet ranges often precede major moves.

Whether we’re at the edge of a breakout or a breakdown will likely depend on volume returning and broader crypto market sentiment shifting.

This article is for informational purposes only and does not constitute investment advice.