XRP is currently trading at $3.04, down 2.2% in the past 24 hours but still maintaining a 5.8% gain over the past week. The token has shown a flat-to-weak monthly bias with a 1.6% decline across 30 days. Technical analysis suggests XRP may be forming an inverse head-and-shoulders pattern, a bullish reversal setup that often precedes strong rallies.
Bearish signals are emerging from derivatives markets, with XRP's taker buy-sell ratio dropping to 0.84 on September 14, its lowest level in a month. This indicates aggressive sellers are dominating futures trading. Historically, when this ratio bottoms, prices typically stage a relief bounce, but XRP instead repeated late August's pattern where a similar setup led to a 7% drop from $2.96 to $2.75.
Spot demand has also weakened significantly. Exchange withdrawing transactions on Binance collapsed from 15,648 on September 11 to just 498, representing a 97% drop. This metric counts actual transactions moving XRP off exchanges for long-term storage, providing a clearer signal of buy-side demand than raw outflow sums.
For the inverse head-and-shoulders pattern to complete textbook formation, XRP may need to dip toward $2.78 (approximately 9% below current levels) to mirror the left shoulder. The pattern's neckline sits near $3.15, and a daily close above this level would confirm the breakout, targeting $3.35 initially. Key support levels are identified at $2.99, $2.93, and $2.78, with a drop below $2.69 invalidating the bullish pattern.
Meanwhile, XRP recently defended support near $2.70 earlier this month, marking one of the strongest recoveries in weeks. The rebound pushed the price past the psychological $3.10 threshold, drawing increased trading activity with over 111 million XRP trading hands within 24 hours. Analysts identify the nearest resistance zone between $3.35 and $3.40, with clearing this range potentially opening targets toward $3.60.
Fundamental factors include renewed optimism regarding Ripple's long-running legal case in the United States and broader market capital rotation from Bitcoin into large-cap alternatives. Community engagement has increased, exemplified by a promotional giveaway of 10,000 XRP (worth approximately $31,000) celebrating the $3.10 breakout milestone.