XRP is attempting to extend its recent rebound, though price action remains constrained within key technical levels. After a 6.7% weekly gain, the token slipped around 2% on Wednesday and is currently trading near $1.49. It is positioned close to the middle of its Bollinger Bands and slightly above the 78.6% Fibonacci retracement level around $1.43, which is acting as short-term support.
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Momentum Is Improving, But Not Strong Yet
The 14-day RSI has recovered from oversold conditions near 35 to around 43, while the shorter-term 7-day RSI stands at 52. This suggests that selling pressure has eased and momentum is shifting toward neutral territory.
At the same time, volatility continues to contract. The Bollinger Bands are tightening within a range of approximately $1.20 to $1.84, and the Average True Range is declining. Such compression often precedes a stronger directional move. The ADX remains elevated near 50, indicating that the previous trend had notable strength.
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Key Levels That Decide the Next Move
On the upside, the 61.8% Fibonacci retracement near $1.68 represents the primary resistance level. A sustained move above this area, particularly if accompanied by RSI pushing above 55 and ADX remaining firm, could signal continuation of the rebound and a potential expansion beyond the current Bollinger Band squeeze.
On the downside, a break below the $1.43 support level would weaken the short-term recovery structure and increase the likelihood of a deeper retracement.
