Don't Get Fooled by $3 XRP, Bollinger Bands Signal

XRP is once again hanging around the $3 mark, but the latest move looks shaky as Bollinger Bands show the rally slowing down.

After bouncing from late-August lows near $2.70, XRP's price climbed back toward $3.10-$3.20, but the price failed to hold above the upper band near $3.14, which often signals that bull momentum is fading and a slip back toward the mid-band around $2.90 could follow.

XRP is trading at around $3.09 on the daily chart. It is caught between the top of the bands and the middle line, and usually when this happens without a clear breakout, the market tends to drift lower before buyers step in again. Watch the $2.80-$2.90 zone if things start to heat up.

The weekly chart is looking more stable, but still a bit nervous, as XRP is holding its 20-week average around $2.64, although it hasn't quite reached the higher $3.52 band yet. It's clear there is space to run, but unless it closes firmly over $3.20, there's no guarantee it won't roll back down.

Bottom line

Shorter-term charts are already softening, as XRP pulled back from just under $3.20 to test the $3.05 area, with the lower four-hour band now rising toward $2.97. If that floor cracks, the warning of another dip under $3 gets stronger.

The story here is simple: XRP needs to turn $3 into solid support, and until that happens, the risk of sliding into the $2s is still on the table, making this weeks closes crucial for whether bulls keep control or momentum fades away.