XRP’s Long Wick Pattern Resurfaces — a Repeat of 2017’s Explosive Rally?

XRP shows a chart pattern resembling its 2017 breakout setup.

Technical indicators reveal strong bearish momentum below key support levels.

A rebound above $2.87 could trigger a short-term rally toward the 20-day EMA.

Ripple — XRP’s price action resembles what happened during the legendary 2017 rally. Back then, a long wick stretched to the lowest trendline support before the token soared. Today, traders see a similar setup forming as XRP once again dances along the edge of uncertainty, balancing between renewed optimism and deepening bearish pressure.

XRP’s Short-Term Outlook Turns Bleak

Ripple’s native token is treading on fragile ground. Over the past week, XRP dropped nearly 7%, extending a persistent downtrend. The token now trades below the $3 mark, reflecting fading bullish strength and rising sell-side momentum. The 20-day Exponential Moving Average sits at $2.9065, serving as dynamic resistance.

This key level acts like a shifting ceiling that adjusts with market rhythm. When prices move above the 20-day EMA, bulls dominate and short-term momentum favors gains. But once the price slips beneath it, as XRP has done, sellers tighten their grip. Technical indicators confirm the pressure. The Elder-Ray Index flashes continuous negative readings, a sign of weakening bullish force.

Red histogram bars on the chart have grown taller over four straight sessions. That visual tells a story of mounting selling pressure and anxious investors stepping back from risk. The Elder-Ray Index compares buying and selling power. Positive readings indicate market confidence and demand strength. Negative values, however, show that bears are calling the shots, and many traders are seeking safer ground.

This current setup suggests that XRP’s short-term sentiment leans heavily toward caution. Beneath the surface, the chart whispers the same message: buyers are running low on conviction. Momentum indicators act like storm warnings, and right now, they’re flashing red across the board.

XRP Balances on the Edge

Despite the gloomy tone, XRP still clings to support near $2.7435. That level now functions as a safety net, but it’s wearing thin. If bearish momentum holds, the price could retest this floor soon. A decisive break below could drag the token toward $2.6371—a three-month low that may test investor patience. Still, hope hasn’t vanished. A surge in buyer interest could lift prices back above $2.87. That rebound might spark a short-term rally toward the 20-day EMA at $2.9061.

The current pattern mirrors what unfolded in 2017 when XRP plunged to deep support before exploding upward. Market veterans remember that breakout vividly. The resemblance today fuels quiet optimism that history could repeat, though no two markets ever move exactly alike.

For now, XRP stands at a crossroads. The chart paints a tense picture—like a tightrope walker over a silent crowd. One step could define the next chapter. Whether the token collapses under pressure or springs into another historic rally will depend on how traders respond in the coming days.