XRP Crypto Could Be Preparing for a Bounce – Here Is Why Momentum Traders Are Turning Optimistic

• Analyst Ali Martinez identified a new TD Sequential buy signal on XRP’s 4-hour chart.
• XRP found support near $1.325 and could rebound toward the $1.35 resistance area.
• Traders are closely watching whether the signal marks the start of a larger recovery or just a temporary bounce.

XRP may be showing the first signs of a short-term recovery after a widely followed technical indicator flashed a fresh buy signal. Crypto analyst Ali Martinez, known on X as @ali_charts, recently highlighted a new TD Sequential buy setup on XRP’s 4-hour chart, suggesting the recent selloff could be losing momentum.

The signal emerged after XRP slipped toward the $1.325 area, a level that quickly attracted buyers. Following several sessions of steady weakness, the token found support and began stabilizing around $1.33. According to Martinez, the setup could pave the way for a rebound toward $1.35 before the market decides on its next major move.

His chart showed the buy signal appearing almost exactly as XRP approached a key support zone. While the broader trend remains uncertain, the indicator suggests sellers may be running out of steam, at least in the near term.

TD Sequential Suggests Bears Are Losing Control

Over the past several trading sessions, XRP has been trapped in a short-term downtrend characterized by lower highs and lower closes. Price gradually slipped from the $1.36 region toward support near $1.325, putting increasing pressure on bullish traders.

However, that’s where things started to change.

As XRP approached support, the TD Sequential indicator printed a “9” buy signal. Traders often use this tool to identify exhaustion points within established trends. When the signal appears after an extended move lower, it can indicate that selling momentum is fading and a temporary reversal may be approaching.

Soon after the signal appeared, XRP posted a modest recovery candle on the 4-hour chart. While not a dramatic breakout by any means, it was enough to spark renewed interest among short-term traders looking for signs of stabilization.

Martinez believes a move back toward $1.35 is possible if buyers maintain control. That level also aligns with a previous resistance zone where XRP struggled before the latest wave of selling accelerated.

Key Support Zone Remains Critical

For now, the area between $1.325 and $1.336 has become one of the most important regions on XRP’s chart. The asset has repeatedly reacted around these levels over the past several sessions, suggesting buyers are actively defending the zone.

Another encouraging sign comes from the long lower wicks visible on recent candles. Typically, these formations indicate that sellers pushed prices lower during the session, only for buyers to step in and force a recovery before the candle closed. It’s not a guarantee of strength, but it does show demand remains present.

As long as XRP continues holding above support, traders may begin targeting a move toward the next resistance band between $1.346 and $1.358. That range closely matches Martinez’s projected recovery target and could become the next battleground between buyers and sellers.

The market structure still points to consolidation rather than a full trend reversal, though. XRP has yet to reclaim several key resistance levels, meaning caution remains warranted despite the recent signal.

Traders Focus on Momentum Shift

Momentum indicators have become increasingly important as XRP attempts to recover from recent weakness. The TD Sequential signal arrived after multiple bearish candles dominated the chart, making the timing particularly noteworthy for technical traders.

Many market participants are now watching to see whether the indicator accurately marks a short-term bottom or simply produces another temporary bounce within a broader consolidation pattern. Crypto markets, after all, have a habit of testing trader patience.

If XRP can break above $1.35, attention will likely shift toward higher resistance levels near $1.358 and potentially $1.37. A move into that region would strengthen the case that buyers are regaining control and could set the stage for a larger recovery attempt.

For now, though, XRP remains caught in the middle of its recent range. The next few sessions will likely determine whether this latest buy signal develops into a meaningful rally—or fades into another brief pause in the market’s ongoing tug-of-war.

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