XRP Faces Tight $2.17-$2.24 Range: Fake Breakouts Test Traders Ahead of Potential Breakout

XRP is trading between the tight convergence of $2.17 and $2.24 that makes it uncertain to traders.

Leveraged positions have been liquidated due to fake breakouts, which is indicative of how sensitive the market is to the volatility in the short run.

Sub-indicators and volume spikes indicate that the direction of the cryptocurrency can be better supported in the middle of the week.

XRP is at a critical stage because the cryptocurrency is in a narrow convergence pattern in the hourly chart. The price of the digital asset has been ranging between $2.17 and $2.19 signifying a rise of 1.4% in the last 24 hours

The cryptocurrency can actually be seen in the market as trying both limits and this makes it tough to tell who the leveraged traders and the spot investors are as well. The current price action demonstrates the difficulties of the interpretation of the short-term fluctuations in XRP, especially following the recent fake breakouts that led to the liquidation.

The graph demonstrates that XRP makes a narrowing trend, which means price action is compressed. It is worth noting that the cryptocurrency reiterated several times the support of $2.17 as it neared the resistance at the $2.24 area. This confined trading range has limited volatility, yet amplified reactions when false breakouts occurred. Spot traders have adjusted their positions in response, while leveraged positions experienced forced liquidations. The repeated testing of these key levels suggests that the market is closely watching whether XRP can sustain momentum beyond the current range.

Price Movements and Technical Indicators

Sub-indicators provide insight into potential short-term movements. Although volatility has slowed, XRP has recorded a slight upward shift of 1.4% in USD terms and 1.5% in BTC valuation, standing at 0.00002440 BTC. Trading volume has fluctuated during the convergence phase, and each spike has triggered temporary price swings. The market continues to respond to these technical cues, with investors evaluating the balance between support at $2.17 and resistance at $2.24. These patterns indicate that the cryptocurrency’s direction may become clearer in the coming days.

Implications for the Current Trading Week

As the week progresses, XRP’s price is poised to resolve the ongoing convergence. Traders are closely monitoring the upper and lower boundaries, which define risk levels for both spot and leveraged positions. The tight range may result in heightened attention to any breakout attempt, notably because each false move can rapidly influence market sentiment. While the current structure limits extreme volatility, short-term traders remain cautious, adjusting their strategies in response to observed price behavior and key support levels.