XRP Price is trading steadily around $2.64 as markets await today’s FOMC rate decision, where a 25 bps cut is widely expected. A dovish tone from the Fed could lift XRP toward the $3 mark, while any hawkish hints may trigger a pullback toward $2.55.
Following a strong Q3 performance, where XRP’s market cap surged to around $170 billion and outperformed larger cryptocurrencies, investor confidence in the asset remains high.
However, XRP has been struggling to regain its footing after a few volatile weeks. Some seasoned analysts believe a short-term correction may be on the horizon. After the October 10 crash, XRP plunged to $2.18 before recovering to $2.63, still about 6% below its pre-crash level of $2.80. While the rebound has improved market sentiment, traders remain cautious as they await the Fed’s policy outlook to determine the next move in crypto prices.
On-Chain Data Flashes a Sell Signal
On-chain analyst Ali Martinez highlighted that XRP’s TD Sequential indicator known for identifying price reversals has once again flashed a sell signal. Martinez noted that this same indicator accurately predicted XRP’s last four declines, including the July 22 sell signal, which preceded a 24% drop from $3.55 to $2.70. Similar pullbacks followed in August and September, each leading to short-term dips before eventual recoveries.
Interestingly, the indicator also identified recent bullish reversals, flashing buy signals on September 27 and October 22, which pushed XRP up by 12% and 14%, respectively. With the latest sell signal now appearing again, Martinez suggests XRP could experience another brief correction soon.
Veteran Analysts Weigh In
Supporting this outlook, Blockchain Backer believes XRP may be repeating a familiar pattern seen earlier this year. He explained that after major liquidation events, XRP often moves sideways before rallying higher, forming what appears to be a “bull trap”—followed by a corrective phase. He compared the current setup to February 2025, when XRP spiked to $2.70 before dropping sharply to $1.98, suggesting a similar pattern may be unfolding.
Meanwhile, analyst DustyBC offered a more balanced perspective. He acknowledged that a pullback seems likely but described it as a healthy part of XRP’s long-term growth. According to him, XRP could retest the $2.40–$2.55 zone before continuing its next leg upward, which may further reinforce its broader uptrend.
On the other hand, EGRAG Crypto maintains a bullish long-term view. He pointed out that both XRP’s price and RSI are forming higher highs, a pattern that typically reflects strong buying momentum. As long as these metrics move in sync, EGRAG believes the uptrend remains intact. A short-term dip may occur, but the overall market structure and long-term bullish outlook for XRP remain solid.
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FAQs
Yes, a dovish Fed stance could boost investor confidence and lift XRP toward $3. A hawkish tone, however, may cause short-term price pressure.
The TD Sequential sell signal suggests a short-term correction may follow. It’s often a pause before the next bullish phase in XRP’s trend.
Not necessarily. Experts see it as a healthy correction that could reset momentum before XRP resumes its broader uptrend toward higher levels.
Analysts remain bullish long-term, citing strong on-chain data and higher highs in RSI—signs that XRP’s uptrend is still intact despite short dips.
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