XRP triangle flag pattern is about to break: technical indicators are all bullish, which may trigger a pump towards the $4 target price | XRP price prediction

The price of XRP is currently in a key triangular flag consolidation pattern, with a resistance level of $3.10 and a support level of $2.87 forming a converging range. Technical indicators show that long positions are continuously accumulating. Dom Kwok, co-founder of EasyA, pointed out that if the XRP ETF is approved, it could trigger record inflows of funds. The U.S. SEC has postponed the decision deadlines for several institutions’ ETF applications to October. The resonance of favourable information from both technical and fundamental aspects suggests that XRP may soon break through the key resistance of $3.10, initiating a pump towards a target of $4.

[Technical Patterns and Key Price Level Analysis]

(Source: TradingView)

The XRP price is forming a typical triangle flag formation between the 3.10 USD resistance and the 2.87 USD support, a pattern that often appears before significant price expansion. If it successfully breaks through the 3.10 USD resistance, the first target is aimed at 3.37 USD, followed by a possible test of the 3.60 USD area. If buying momentum continues to strengthen, XRP is expected to further push towards the 4 USD round number. Conversely, if it loses the 2.87 USD support, it may retreat to 2.70 USD for consolidation.

[technical indicator releases bullish signal]

The Directional Movement Index (DMI) shows that the +DI line continues to be above the -DI line, indicating that long positions are steadily increasing. The Parabolic SAR dot has shifted below the price, suggesting that trend control is turning towards buyers. The ongoing consolidation since the July high is accumulating energy for a breakout, and if the trading volume supports it, XRP may strongly break through multiple resistance levels.

[ETF expectation becomes the biggest catalyst]

Dom Kwok, co-founder of EasyA, emphasized that the approval of the XRP ETF will bring significant new capital to the market. As the third largest token by market capitalization, second only to Bitcoin and Ethereum, XRP’s lower price makes it more attractive to retail investors. The ETF structure will enable millions of new investors to conveniently allocate XRP, resulting in long-term continuous capital inflow rather than short-term price fluctuations.

[SEC Approval Timeline Clarified]

The U.S. SEC has postponed the resolution deadlines for the XRP ETF applications from 21Shares, Grayscale, Bitwise, CoinShares, and Canary Capital to October. The final resolution date for the WisdomTree XRP ETF proposal submitted by the Cboe BZX exchange is set for October 24. These delays provide the market with more time to assess the potential of the XRP ETF and create a clear event-driven trading window.

[Institutional Layout and Market Position]

XRP, with its high liquidity and broad base of holders, has become one of the most ETF-potential crypto assets. Currently, the XRP Ledger is experiencing rapid growth in the tokenization of RWA (real-world assets), with RWA asset scale increasing by 25% in 30 days. The largest project in the ecosystem, VERT Capital, has launched a $115 million fund. These fundamental factors provide solid support for ETF approval.

[Trading Strategies and Risk Disclaimer]

Traders should focus on the breakout at $3.10; successfully holding this position may trigger short covering and an influx of trend-following funds. The downside risk is that a loss of the $2.87 support could lead to a deeper pullback to the $2.70 area. It is recommended to layout long positions in conjunction with the October ETF approval schedule and set reasonable stop-loss protection.

[Conclusion]

The technical triangle flag formation and the October ETF approval event create a perfect resonance, and XRP may be on the brink of an explosion. If both a technical breakthrough and favourable information from regulators are achieved, XRP is expected to start a pump that surpasses its historical high. Investors should closely monitor the price pattern evolution in late September and the latest statements from the SEC to seize potential significant investment opportunities. Against the backdrop of the accelerated institutionalization process in the cryptocurrency market, if the XRP ETF is approved, it will become a milestone event in the industry.