Inverse Head-and-Shoulders Breakout Puts XRP on Track for $2.80 Test

Failure to hold $2.50 on a closing basis would neutralize the bullish structure, potentially inviting rotation back toward $2.40–$2.42 support.

Updated Oct 25, 2025, 6:34 a.m. Published Oct 25, 2025, 6:34 a.m.

What to know:

XRP extended gains above the $2.50 mark on Thursday, breaking key resistance as volume surged 31% above weekly averages. The move came amid broader risk-on sentiment across crypto markets, with bitcoin climbing and traders rotating into high-cap tokens showing technically defined setups.

News Background

• The token’s latest advance followed weeks of consolidation between $2.35 and $2.50, with technical strategists tracking an inverse head-and-shoulders base through mid-October.
• Thursday’s decisive move through the neckline at $2.50 confirmed that pattern, opening a potential continuation phase toward the $2.65–$2.80 range if buying persists.
• Market positioning shifted as macro sentiment improved. Softer U.S. inflation data and falling Treasury yields triggered risk-on flows into major altcoins. XRP outperformed the CoinDesk 5 index by roughly five percentage points, signaling asset-specific accumulation rather than sector momentum.

Price Action Summary

• XRP climbed from $2.50 to $2.57 across the session, with intraday volume peaking at 142 million — 31% above its seven-day mean.
• The breakout was defined by three sequential higher lows at $2.44, $2.48 and $2.51, confirming controlled accumulation through the $2.50 zone.
• While brief profit-taking emerged near $2.58, XRP held above breakout support, suggesting institutions added exposure on retests.
• Elevated spot volume combined with muted derivatives leverage confirmed genuine buying interest rather than short-squeeze dynamics.

Technical Analysis

• The completed inverse head-and-shoulders formation now defines XRP’s near-term technical bias. Momentum indicators, including RSI and MACD, both turned higher on the daily chart, while volume expansion validates the strength of the move.
• Immediate resistance lies at $2.60, followed by secondary targets near $2.80. Failure to hold $2.50 on a closing basis would neutralize the bullish structure, potentially inviting rotation back toward $2.40–$2.42 support.

What Traders Should Know

Traders are monitoring whether $2.50 holds as the new base — a level now regarded as the pivot for short-term trend confirmation. Exchange balance data shows XRP reserves down roughly 3.3% since early October, a historically bullish signal linked to whale accumulation phases.

Open interest has stabilized and funding rates remain neutral, leaving the move largely spot-driven. Sustained volume above 130 million through the weekend could validate continuation toward $2.70–$2.80, while fading participation may trap prices back inside the $2.40–$2.55 range.

XRP Leads Gains on Ripple Moves, Bitcoin Holds $111K as ‘Uptober’ Dud Heads for Last Week

October has been defined by forced selling and false starts and on track to become the worst since 2015, dampening an otherwise bullish month that averages over 25% returns for bitcoin.