XRP increased nearly 9% as risk appetite returned, targeting $3

The price of XRP has recorded an impressive recovery at the time of writing, with an increase of nearly 9% for the day and is currently trading at $2.26, surpassing the important support zone of $2. Current technical signals and market momentum indicate the potential continuation of the bullish trend, with the next target being the psychological resistance zone of $3.

Risk appetite returns, supporting the upward momentum of XRP

The strong recovery of XRP is taking place against the backdrop of a positive shift in market sentiment, especially following the remarks of U.S. President Donald Trump on Tuesday. The President affirmed that there is no intention to dismiss Federal Reserve Chairman Jerome Powell, despite previous criticisms. He also urged the Fed to lower interest rates to support the economy – a move that the market appreciates, providing a boost for risk assets like crypto.

In this context, Bitcoin, Ethereum, and Solana all increased in price, reflecting the return of venture capital inflows. Trade negotiations between the United States and China also show signs of progress, raising expectations for a comprehensive economic agreement in the near future.

The $3 target is no longer far away

XRP is trading near a key resistance level at $2.2 – the upper boundary zone of the descending channel established since early February. A break and close above this threshold will confirm a breakout from the prolonged bearish pattern, opening up the possibility of a surge towards $2.5 and even $3.

The RSI indicator is currently at 58.37 and trending upward, reinforcing the advantage for the buyers. At the same time, the price is holding above the two moving averages EMA 50 and EMA 100 – a signal that the bullish momentum is still strong.

XRP Price Chart 1 Day | Source: TradingViewAccording to data from Coinglass, the open interest OI( for XRP futures has increased by over 20% in the past 24 hours, reaching $3.89 billion – a clear testament to the optimistic sentiment of investors. Short positions were liquidated up to $8.46 million, far exceeding the $2.63 million on the buy side, indicating that selling pressure is weakening.

The Long-to-Short ratio reached 1.02, reflecting a clear bias towards investors betting on a bullish trend. However, such a spike in OI also carries the risk of a short-term correction as investors take profits and rebalance their portfolios.

![])https://img.gateio.im/social/moments-897bfc9b9554f1421fae4e786bbdd5b0(XRP OI | Source: Coinglass## Reversal Scenario Warning

Despite positive signals, a price drop below the EMA 50/100 line could bring XRP back to the support zone at $2. If this level does not hold, the downtrend could extend to the EMA 200 at $0.96, with the demand zone at $1.8 becoming the next defensive mark.

However, with the deactivation of the "mini death cross" signal – when the EMA 26 no longer crosses below the EMA 50 – the downtrend has somewhat reversed. The significant increase in trading volume also indicates new interest from the market, further supporting the bullish outlook.

Conclusion: XRP is at a critical turning point

Currently, XRP is at a crucial technical turning point. Maintaining above the resistance level of $2.2 will confirm a trend reversal, setting the stage for a new bullish cycle. Conversely, if it is rejected at this zone, XRP may return to test lower support zones, prolonging the accumulation phase.

Although the long-term trend still needs further confirmation, recent developments – from technical aspects to macro factors – are supporting the possibility that XRP will continue its strong recovery journey in the near future.

Disclaimer*: This article is for informational purposes only and is not investment advice. Investors should conduct thorough research before making decisions. We are not responsible for your investment decisions*

Emma