|
Getting your Trinity Audio player ready...
|
- XRP forms a bullish Morning Star candlestick at the critical $1.85 support.
- XRP’s technical indicators suggest rising momentum, but caution remains due to low trading volume.
- On-chain data shows increased accumulation, with whale activity driving bullish sentiment.
XRP, the fourth-largest cryptocurrency by market capitalization, appears to be signaling a potential reversal of its recent bearish trend. A bullish Morning Star candlestick pattern has emerged at a key support level of $1.85, accompanied by a notable 4.55% price increase today. This price uptick could suggest that XRP is nearing the end of its downward movement and may be poised for a recovery.
XRP at a Critical Support Level
The $1.85 support level has a history of price reversals, which adds weight to the current bullish setup. Despite a more than 29% drop in price during the recent downtrend, XRP’s latest price action shows promising signs of a reversal. As of now, XRP is trading at $2.03, reflecting a 6.50% increase on the day.
However, caution remains in the market, as indicated by a 52% drop in trading volume, now standing at $3.65 billion. The decrease in trading activity suggests that traders are still cautious about committing to bullish bets, despite the positive price movement.
Technical Indicators: A Mixed Outlook
From a technical perspective, XRP’s price action shows mixed signals. The cryptocurrency is still trading below the 200-day Exponential Moving Average (EMA), which typically signals a downtrend. However, the formation of a bullish Morning Star candlestick pattern at the $1.85 support level indicates a potential reversal if the price can hold above this key level.
Notably, XRP’s Average Directional Index (ADX) has risen above 34.08, signaling strong momentum and increasing bullish sentiment. On the flip side, the Chaikin Money Flow (CMF) is still negative at -0.07, pointing to ongoing selling pressure and limited capital inflow.
Accumulation and Whale Activity Support a Bullish Case
On-chain data further supports the bullish outlook, with CryptoQuant reporting a decline in XRP reserves on Binance. This drop of 3 million tokens suggests that investors are transferring XRP from exchanges to personal wallets, a sign of accumulation. Moreover, derivatives data from CoinGlass indicates an increase in long positions as traders bet on XRP’s price rise.
Also Read: UNI Burns, ETH Fusako, XRP Staking: The Token Shake-Up Accelerating Into 2026
Key price levels to watch are $2.006 on the lower side and $2.072 on the upper side, with significant liquidation levels at these points. If XRP can maintain above these thresholds, it could pave the way for a sustained uptrend.
1.80 billion $XRP were previously acquired around $1.75, making it a key support area. pic.twitter.com/gjZCdVApuA
— Ali (@ali_charts) November 22, 2025
XRP’s bullish Morning Star pattern and rising momentum indicate that the cryptocurrency may be on the brink of a trend reversal. Although market participants remain cautious, the combination of strong support at $1.85 and positive technical signals suggests that XRP could resume its upward movement if the current trend holds.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
