XRP eyes breakout from descending broadening pattern
$XRP is currently eyeing a breakout from a right-angled descending broadening formation, a pattern it has been trading within since late 2024. This structure features a flat upper trendline acting as resistance and a descending lower trendline marking lower lows. The pattern developed after $XRP surged from $0.50 in November 2024 to $3.40 by January 2025, driven by optimism around Donald Trump's election. However, the token faced repeated rejections near the $3.50 upper trendline, culminating in a 67% drop to $0.98 by August 2026.
The ongoing recovery, which began in August 2026, has seen $XRP climb over 54% to $1.51. However, the token still has a long way to go before testing the $3.50 upper trendline, requiring an additional 131% increase. The path to this level may involve pullbacks, allowing buyers to consolidate before another attempt at breaking the resistance.
If $XRP successfully breaks above the $3.50 upper trendline, the measured move suggests a target near $6.00. This target is derived from the distance between the upper trendline and the lowest low at $0.98. Reaching $6.00 would mark a new all-time high for $XRP, representing a 70% gain from the breakout level. However, the token must first maintain its recovery and overcome the resistance that has previously halted its upward momentum.