U.Today – XRP’s recent rally stalled after hitting highs near $3, leaving the market wondering what happens next. Given the current uncertainty in the crypto market, XRP appears to be consolidating, especially on its trading pair. Could a breakout against BTC be in sight?

Over the past few weeks, XRP has performed exceptionally well, gaining traction due to positive developments in the broader crypto market and the positive sentiment surrounding the launch of stablecoin Ripple USD (RLUSD).

XRP rose to a high of $2.90 on December 3 and also hit a high of $0.00003 on the Bitcoin pair, a level last seen in May 2021.

However, after this performance, the rally seems to have entered a cooling phase. The trading pair assessing XRP’s relative strength compared to Bitcoin has slowed and settled into a range, suggesting the next move could be crucial.

Traders see BTC’s $0.0000265 and $0.00003 levels as significant hurdles for XRP. A break above these key levels could signal the next leg of the rally.

XRP’s rally may have hit a pause, but the market is looking for a clear direction for what to do next. Regardless of whether XRP breaks out or sinks, its next moves could affect its development in the short term.

Price analysis

At the time of writing, XRP is down 0.73% in the last 24 hours to $2.29. Since reaching a high of $2.90 on December 3, XRP has been range-bound. The RSI around the middle suggests a balance between supply and demand, implying the likelihood of trading in a range between $1.90 and $2.90 in the coming days.

Recent price action has created a symmetrical triangle pattern, which is often viewed as a continuation pattern but sometimes acts as a reversal pattern. If the price rises and breaks the triangle, the chances of a break above $2.91 increase.

On the other hand, a breakout and close below the triangle could indicate that XRP has reached its short-term peak. Such a move could push XRP to the 50-day SMA of $1.73.

This article was originally published on U.Today