XRP News Today: Favourable Technical Upside For The Coming Six Months

In a rather contrarian approach, crypto analysts are saying that XRP’s recent dip does not correlate with a crash; it is more of a healthy correction. With technical indicators and ETF inflows, this analysis could be true when it comes to XRP. The asset had made significant gains at the beginning of December 2025; however, it crashed below the $2.00 mark on 14th December 2025, once again after the disastrous crash on 12th December 2025. While XRP had made a flashy comeback from the crash on December 12th, the recent downturn below the $2.00 mark was concerning for many investors.

However, with fresh capital inflows into the ETF market and favorable technicals, XRP is looking at a brighter future for the next six months, according to analysts. Crypto analyst by the alias Egrag Crypto recently posted on X that the most recent drawdown below the $2.00 mark does not indicate a broader market shift, as the technicals, according to the analyst, are giving positive signals for the asset’s upcoming 6 months.

XRP Is In A Consolidation Phase

Egrag considers two key factors to support his analysis: regime shift and consolidation. XRP has clearly made a breakout from the previous year’s $0.50 mark. This regime shift is a potential indicator that XRP is on the move to scale new heights. XRP has scaled up massively since 11th November 2024. This regime shift is not something to be taken lightly, as it is indicative of the asset’s potential to rally in favorable macroeconomic conditions.

Such a decisive expansion will naturally witness pullbacks as the market reaches overbought conditions; this is, however, not an indicator that the trend has come to a full stop. Such healthy market consolidations are essential to close out the speculative positions on the order book and prepare the trading environment for a strengthened outlook in the near future.

When analyzing the price movement just below the $2.00, this factor should be considered as a key ingredient. This means that the micro pullback is indicating a natural pause to an exhausted market and not a trend reversal.

Another key point that Egrag points out is that the price action that the asset is witnessing now is more of a consolidation phase rather than a distribution. If the signals were clearly pointing towards a condition of distribution, it could have been said that the asset is definitely on a path of trend reversal. However, there is little to no evidence that supports that what XRP is facing now can be associated with distribution.

With the evidence for a possible consolidation, where the market moves in a healthy sideways pattern, further technical analysis is the only way to predict whether the asset is positioned for an upward move or a potential reversal.

EMA Indicates Bullish Bias

With the market likely in consolidation, the future analysis that states the momentum is building towards a bullish outlook is because of the asset’s relationship with a long-term friendly EMA(Exponential Moving Average).

Since XRP’s trajectory is clearly above the 21EMA, the consolidation is signalling a bullish outlook for the coming six months. This could become true if further momentum builds up and other macroeconomic factors like capital inflows into the ETF markets and large-scale institutional adoption gain strength.

Even though chart analysis shows that the price is now below the 9EMA, Egrag argues that since the 9EMA is a fast-moving EMA, the price could make a comeback and move above it in the short term. All of this strengthens the idea that XRP is displaying a short-term weakness rather than a structural breakdown, which further strengthens the six-month bullish forecast.

Forces Beyond Technical Analysis

The bullish analysis is not just backed by pure chart analysis. There are broader factors that are strengthening the fundamentals of XRP. The $2.00 mark is an important factor in this. That price mark is a structural support level for XRP. This is because the price is grazing below this support level at $1.99. XRP is not facing resistance at $2.00 mark; rather, it has just slipped below the key support.

This situation is akin to the fact that XRP is retesting the $2.00 support level. It is important to note here that the $2.00 support level is nearly 400% higher than the previous year’s rather disappointing rate of $0.50.

With the OCC(Office of the Comptroller of Currency) approving a national bank charter for XRP alongside other assets is a significant macroeconomic factor that adds weight to the bullish momentum. Factors like these attract significant capital inflow into the ETF market, which solves any liquidity issues that could tug on the bullish momentum needed to maintain the said six months of bullish price action.

According to Egrag, even though there are strong bullish indicators on the chart, price action can often turn the tide against XRP, especially since this is now a consolidation phase. But the chances for this to happen are low since the prices have to swing violently if the outlook is to shift towards a bearish tone. According to Egrag, this is possible only if XRP records sustained monthly closes in the $1.80 to $1.60 range.

The Strong Capital Inflow

Yet another factor that lends more validity to Egrag’s analysis is the present fund inflow to XRP in the ETF markets. Even though XRP has been grazing the $2.00 mark, the spot XRP ETF has been receiving a healthy dose of capital inflow.

With nearly 974 million US dollars worth of cumulative inflow in the spot ETF sector alone, XRP is securing a healthy capital foundation. This carries paramount importance as the journey to higher prices will be laden with large consolidations, where profit-taking courtesy of a sentimental push will slow down growth. With much liquidity to spare in such situations, the market can stay fairly stable if the ongoing liquidity accumulation continues so that any issues arising from uncontrolled volatility can be prematurely eliminated.