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After months of sideways price action, the XRP/BTC trading pair is showing technical signs of life, leading analysts like EGRAG CRYPTO to believe a major trend reversal is soon to happen.
According to the analyst, a combination of classic chart patterns on the XRP vs. Bitcoin chart suggests that after a long downtrend, a breakout may be setting up.
The analyst’s latest XRP/BTC chart shows an inverted hammer candlestick forming after a prolonged downtrend. This pattern appears near the top of the wedge, often signaling a reversal in trend. The analysis also presents a falling wedge, a structure that suggests price compression and usually ends with a breakout to the upside.
The falling wedge began after XRP/BTC peaked and started forming lower highs and lower lows. The price currently moves inside this narrowing structure. The wedge resistance aligns with the 0.00002700 BTC mark, while the lower boundary holds near 0.00001930 BTC. EGRAG highlighted this lower support as a critical level to sustain the bullish setup.
The inverted hammer, combined with the wedge formation, supports a potential breakout. EGRAG added a curved projection starting from the wedge base, showing a parabolic rise. If price clears the wedge resistance, it may target the white zone marked “Target,” which extends toward the 1.618 Fibonacci level near 0.00009200 BTC.
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The chart includes a Fibonacci overlay. Price has interacted with the 0.5 and 0.618 retracement levels, reinforcing the wedge’s technical validity. Above the wedge, the 0.786 Fibonacci retracement aligns with the 0.00002700 BTC zone, making it a key level to watch for confirmation.
An educational insert explains the inverted hammer pattern, noting its bullish reversal potential. The hammer shows up after strong selling, suggesting exhaustion and a possible change in sentiment. EGRAG’s use of this signal points to growing confidence in a long-term upward shift.
XRP/BTC remains inside the wedge for now, but the structure, pattern, and technical zones imply a high-probability breakout if bullish volume confirms. EGRAG marked the upside path with a sharp pink arrow to visualize the expected trajectory after the breakout.
XRP/BTC RSI Shows Downtrend Moderation After Overbought Spike
The Relative Strength Index (RSI) for XRP/BTC on the weekly chart shows weakening momentum after a strong overbought surge in late 2024. At the peak, RSI moved above 90, indicating intense buying pressure. That rally has since faded, with RSI dropping below the neutral 50 level in early 2025.
The current RSI reads 44.75, while its 14-week moving average stands at 49.58. The RSI remains below this average, suggesting that bearish momentum continues. However, the gap has narrowed in recent weeks. This signals a possible shift or pause in selling strength.
The RSI last bounced from the 40 zone, which had served as a floor in previous market cycles. If it holds above this area, momentum may recover. On past occasions, rebounds from similar RSI levels have aligned with larger upward moves on the price chart.
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The recent overbought spike in late 2024 marked one of the strongest RSI surges for XRP/BTC in the last three years. That movement created a sharp divergence from the RSI average, which often leads to a mean reversion. Since then, the RSI has moved lower for several months in a row.
Despite the decline, the RSI trendline appears to be flattening, hinting at possible stabilization. If the RSI crosses back above its moving average, it could confirm a shift in market momentum.
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