XRP Breaks Downward Wedge: Explosive Signal Before Rising to 3 USD?

XRP has once again become the center of attention after the bullish technical development highlighted by the famous cryptocurrency analyst XRP2020. According to a recent post on X, XRP has officially broken out of the falling wedge pattern, a well-known signal that often occurs before explosive price movements. With the current price of XRP at $2.18, market watchers are turning their attention to this technical breakout and its implications for the short-term trajectory of this token. Reversal Falling Wedge Breakout Signal A falling wedge is a bullish chart pattern that forms when the price creates lower highs and lower lows within converging trend lines. This pattern reflects a consolidation phase and weakening selling pressure, often leading to a bullish breakout. The XRP2020 chart indicates that the asset has broken above the upper boundary of the wedge, a technical confirmation that the downtrend has ended and a new bullish phase may be beginning.

This development is particularly important when considering the prolonged correction that XRP has undergone after the previous high. The breakout, if sustained, will position XRP for a strong bullish phase, with analysts predicting significant bullish potential. Analysts Agree on the Bullish Scenario XRP2020 is not the only unit ringing the alarm about the bullish setup of XRP. Other widely followed analysts, including XRPunkie and EGRAG Crypto, share the same view. XRPunkie points out a hidden bullish divergence forming along with the breakout, stating that XRP "will soon experience a total bullish move." EGRAG adds that the wedge has peaked, warning that the window for a breakout is quickly closing and XRP is now ready for a decisive move. Francis Hunt, widely known by the nickname "The Market Sniper", believes that the $2.00 level provides strong support and expects XRP to bounce higher. Meanwhile, analyst Quantum Ascent suggests a slight fall to $2.13 may occur to complete the correction structure before XRP surges. Price Target and Outlook Technical forecasts vary, but some analysts see XRP bullish significantly if the momentum continues. A confirmed breakout could cause XRP to surge by 70%, potentially reaching $3.50 to $4.00 in the coming weeks. Currency Analytics sets the next major resistance level near $2.40. A breakout above that could open the door to $3 in September, especially if the regulatory clarity around Ripple improves. However, traders are still encouraged to remain cautious. Failing to hold the key support areas, especially around $2.00 or the lower trend line near $1.47, could invalidate the bullish outlook and pull prices lower. The Legal Story Adds Fuel The technical setup of XRP is not the only driver of bullish sentiment. Ripple's ongoing legal interactions with the U.S. SEC have shown signs of an impending resolution. Recent developments, including Ripple's decision to drop its counterclaim and the SEC's plan to withdraw its appeal, have clarified and stabilized the regulatory context of XRP. Such advancements may pave the way for broader adoption by institutions and bullish momentum. The breakout of XRP from the falling wedge pattern, as analyst XRP2020 discovered, is being hailed as a strong bullish signal. With several respected analysts sharing the same view and supportive moves from regulators, XRP seems poised for a significant move. At $2.18, this token is trading just below the key breakout zone. If it breaks through the resistance around $2.30–$2.40, a rally to $3 or more may not only be possible but could be imminent.