$XRP XRP has returned to the spotlight as early signs of capital rotation begin to surface across the broader cryptocurrency market. After years of consolidation and uneven momentum, XRP is now trading in an environment where technical structure, market psychology, and liquidity dynamics appear to be aligning.
While recent price action has turned constructive, analysts suggest that the true catalyst for a major expansion has not yet fully triggered—but may be closer than many expect.
In a recent post on X, respected market analyst JD shifted focus away from XRP’s spot price and instead highlighted a more forward-looking metric: XRP dominance. According to JD, market share behavior often provides earlier and more reliable signals than price alone, and XRP now appears to be approaching a pivotal inflection point.
🔹 Multi-Year Dominance Structure Near Resolution
XRP’s dominance chart reveals a multi-year falling wedge, a structure that has compressed market share since the last major cycle. Falling wedges are widely recognized as bullish reversal patterns, particularly when they form over extended timeframes.
JD notes that this structure is now nearing its breakout zone, placing XRP at a critical decision point. Dominance matters because it measures how XRP performs relative to the entire crypto market. When XRP dominance expands, capital flows into XRP faster than into other assets.
Historically, XRP’s most aggressive rallies have only occurred after dominance confirmed a structural reversal, not before.
🔹 RSI Builds Momentum Without Overheating
JD also highlights the Relative Strength Index (RSI) on the dominance chart, which currently sits at 54.95. This neutral reading places RSI just below a key bullish confirmation level.
In prior market cycles, similar RSI crosses marked the beginning of rapid dominance expansion and sustained XRP outperformance. Notably, the indicator remains far from overbought territory, suggesting that XRP still has significant capacity to absorb new liquidity without triggering exhaustion.
This balance between strengthening momentum and restrained conditions reinforces the bullish setup—once confirmation arrives.
🔹 Price Strength Appears as Liquidity Awaits Rotation
At the time of reporting, XRP is trading near $2.28, posting a gain of approximately 24% over the past week. Despite this strong price move, XRP dominance has slipped slightly by about 1% to 4.35%.
This divergence suggests that while traders have begun positioning into XRP, broader market liquidity has not yet fully rotated into the asset. Data from TradingView supports this interpretation, showing largely neutral technical conditions across higher timeframes.
Such behavior typically reflects early accumulation rather than speculative chasing—a pattern that often precedes larger trend expansions.
🔹 Why Confirmation Could Open the Door to a New All-Time High
According to JD, once the bullish dominance signal confirms, market behavior could shift rapidly. Historical cycles show that XRP tends to move explosively after dominance breaks out, not before. When capital rotation accelerates, price often follows with minimal resistance.
For now, XRP remains in a transition phase. However, the convergence of a long-term structural setup, improving momentum indicators, and restrained dominance suggests the asset may be approaching a decisive breakout.#XRPUSDT🚨
