XRP is currently resting on the support level that produced massive spikes back in December 2024. With funds flowing into XRP ETFs, there is a high chance the coin could reciprocate this historic behavior.
On the daily chart XRP has fallen below its 6-month low of $1.94 and is building momentum as the coin tries to turn this resistance level into support. Usually, the falling wedge pattern on the chart below breaks out and spikes up. Inside the wedge, sellers lose power as the wedge narrows down and buyers slowly enter the market and then take over at the breakout.
A conventional wedge breakout produces a spike that is as large as the widest part of the wedge. As such, when the breakout happens, XRP will go above $2.2. Even the Relative Strength Index (RSI), which shows a value of 40 on its scale, depicts that the breakout will happen.
Although the daily chart looks like there is something major building up, the weekly chart has a bigger event about to happen. On the weekly chart, XRP has just crossed below the $1.945 support level, which helped it produce massive rallies in the latter end of 2024 and even during the first half of 2025. During these rallies the coin rose from $1.9 to above $2.8. As the coin is currently hanging around the same support level, another spike is possible. The RSI does not show any extreme condition; hence, a spike could happen.
Not only does the technical front support this thesis, but also the crypto ETF market also backs it up. When the crypto ETF on the whole was hemorrhaging, the XRP ETF saw inflows. Since mid-week of November, the XRP ETFs have been attracting funds, with November 14 recording the highest net inflow of $243 million.
Given that XRP ETFs keep on attracting more funds, as they did during the past month and a half, there is a high chance that XRP is on its way to hitting $3.
