These XRP price charts hint at a potential 25% relief rally in July
Multiple XRP (XRP) indicators have hinted at a potential 25% relief rally in the coming weeks.
Key takeaways:
- XRP price looks poised to print a rare death cross with a rebound setup toward $1.40.
- XRP may also be forming a broader bottom, eyeing a larger rally toward $8 in the coming months.
XRP's mean-reversion setup may send price toward $1.40
As of Monday, XRP’s 20-week exponential moving average (20-week EMA, green) near $1.40 was on the verge of crossing below its 200-week EMA (blue) near $1.39.
A confirmed weekly close below the longer-term average would mark a rare death cross between the two trend gauges.
XRP/USD weekly chart. Source: TradingView
In the past, XRP’s previous 20-week/200-week EMA crosses were followed by relief rebounds back toward the 200-week EMA. That includes a roughly 20% recovery in 2019 and a larger 82.7% rebound in 2022.
A similar mean-reversion move this time would put the $1.39–$1.40 area in focus, implying roughly 23%–25% upside by July from XRP’s current price near $1.13.
XRP’s weekly relative strength index, or RSI, was also hovering just above the oversold threshold of 30 on Monday.
The RSI measures whether an asset is becoming overheated or overly sold. Readings near 30 typically suggest that sellers may be running out of momentum, raising the odds of a short-term rebound even if the broader trend remains weak.
XRP shorts create $1.40 price magnet
Binance XRP/USDT liquidation heatmap data further supports the relief-rally setup.
The chart shows a heavier concentration of short liquidation liquidity above the current price than long liquidation liquidity below it. The largest upside cluster, of around $236.5 million, appears around the $1.37–$1.40 zone.
XRP/USDT 1-month liquidation heatmap. Source: CoinGlass
Liquidation heatmaps often highlight where prices may move to flush out crowded leveraged positions.
Short sellers positioned above the spot price could be forced to buy back their exposure if XRP starts rebounding from the current $1.13 price levels, adding fuel to a move toward the $1.39–$1.40 area.
XRP may rebound toward $8: Analyst
A separate long-term chart from analyst Cryptollica suggests that XRP's next rebound could be part of a broader bottoming setup.
The chart shows XRP’s 10-day RSI hovering near the low-30s, close to the level that has historically appeared around major accumulation phases.
XRP/USD 10-day chart. Source: TradingView
"In 13 years, XRP has only been this washed out 3 times," Cryptollica said in a Sunday post, adding:
"The first 2 times, the crowd laughed, ignored it, and only understood the setup after price had already left."
Cryptollica’s chart also shows XRP trading above the lower boundary of a giant ascending channel, a long-term support line that has connected multiple macro lows since 2017.
Related: XRP whale wallet withdrawals top 720M as risk-adjusted return data points to opportunity
That trend line currently sits near $0.75, meaning XRP could still see one more downside sweep before a larger recovery begins. In previous cycles, tests of this support area preceded major upside expansions.
XRP could first retest the channel support before entering a broader bull-market phase, with the channel’s upper boundary putting a long-term target near $8 in focus if the pattern plays out again.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
The AI boom may follow the path of the 19th-century railway bubble, and builders may not be the ultimate winners
Goldman Sachs analyst Bobby Molavi compared the current situation to the 19th-century British railway mania: 500 companies spent more than the nation's annual income building 8,000 miles of railway, with most early investors losing out, while the real beneficiaries were the later "passengers." He pointed out that the current AI craze is driven by both debt and momentum, and that the S&P 500’s forward P/E ratio of 18x is only "a bit cheaper." Whether the builders can retain value is uncertain, and history does not offer an optimistic answer.
If Anthropic's IPO goes smoothly and the stock price rises next week, then everything remains the same for AI. Otherwise, some companies will go bankrupt.
The shrinking valuations of two major giants have triggered a chain reaction—investors are adopting more conservative revenue multiples for AI startups and are directly halting high-valuation financing for companies with zero revenue. Multiple venture capital firms have advised their portfolio companies to lower valuation expectations and to quickly build up cash reserves. Market participants warn that the outcome of Anthropic’s IPO will be a barometer for the industry: if successful, the boom will continue; if it fails, some companies may face elimination.
After the Brazilian election, political discount deepens; Morgan Stanley remains bullish on Petrobras (PBR.US), focusing on fuel pricing and dividends
Morgan Stanley still maintains its most optimistic "Overweight" rating, but has lowered its year-end 2027 target price from $31 to $25.
Corning (GLW.US) receives initial "Buy" rating from Jefferies! AI factories driving a fiber optic rush, with a potential global supply gap of up to 30%
For Corning, the recent profit growth mainly comes from the expansion of AI clusters. As the number of optical links crossing cabinets and campuses increases, customers need to deploy more optical fibers within limited conduit and cabinet space, thus driving demand for high-density optical cables and connection systems.
Crypto prices
More
