Multiple indicators suggest a possible price surge for XRP toward $2.80 in the upcoming days.

Highlights:

• XRP’s technical chart aligns with a $2.80 target.
• A drop in exchange supply indicates holders are not looking to sell, implying strong long-term sentiment.
• Steady inflows into XRP ETFs indicate buyer confidence.

XRP/USD daily chart. Source: Cointelegraph/ TradingView

XRP has bounced back nearly 21% from its lows below $2, reached on November 21. The four-hour chart indicates XRP trading within a bull pennant, hinting at a significant upward move.

“$XRP is looking really solid here,” said analyst Crypto Batman in a post on X. Translation: “The market for XRP seems strong at this moment.”

A close above $2.22 could pave the way to the bull pennant’s target of $2.80, representing a 25% increase from current levels.

XRP/USD four-hour chart. Source: Cointelegraph/ TradingView

The Relative Strength Index has risen to 55 from previously oversold conditions of 23 on November 21, indicating enhanced upward momentum.

The price action has begun to form a V-shaped recovery since early November. Breaking above the supply zone between $2.30 and $2.63 is crucial for a breakthrough to $2.70.

XRP balance on exchanges. Source: Glassnode

The XRP supply on exchanges has dropped significantly in the past two months, suggesting holders are moving their tokens off exchanges.

“Less sell pressure is a stronger setup for a significant move later,” said the X user BD.

The increased demand for XRP might also be influenced by the nine-day inflow streak for US-based spot XRP ETFs.

The XRP market shows increased bullish sentiment, bolstering confidence that prices could potentially reach $3.30 - $3.50 soon.