Ripple's XRP is showing signs reminiscent of its 2024 rally setup, with recent movements hinting at a potential breakout. The altcoin has been trapped in a sideways range between $1.03 and $1.15, reflecting an accumulation phase that could precede a significant price surge. However, mixed technical signals and cautious market participants have kept XRP's trajectory uncertain.

Repeating the 2024 Rally Pattern

XRP's current price behavior closely mirrors the sequence observed in 2024. Back then, a final bull trap was followed by capitulation and a consolidation period before an explosive rally pushed prices higher. Presently, XRP is within a comparable accumulation window, sparking hopes that it could surpass $4 by the end of the year if history repeats itself.

On the technical front, the 4-hour chart shows a sideways market with the moving average (MA) crossover suggesting downward pressure, while the Relative Strength Index (RSI) divergence offers bullish undertones. These conflicting indicators have caused a delay in the expected breakout, setting the stage for a potentially sharper move once momentum aligns.

ETF Inflows and Market Uncertainty

Adding to the narrative, XRP exchange-traded funds (ETFs) recorded a net inflow of approximately $592,470 after five days of inactivity. Although moderate, this influx signals renewed investor interest. Still, the rally remains far from guaranteed as bulls and bears remain locked in a tug of war.

Data from CryptoQuant reveals frequent liquidations on both long and short positions, which contributes to the flat price action. The 14-day price range is tightening alongside Open Interest (OI), while neutral funding rates indicate no dominant force pushing XRP decisively up or down. On Binance, spot liquidity has thinned, with inflows and outflows declining, and the Estimated use Ratio (ELR) hovering near this year's lows at 0.15. These factors point to a cautious market with low risk exposure.

In essence, XRP’s chart patterns and fund flows echo the buildup to its 2024 rally, but the balance between buyers and sellers remains fragile. Until a clear breakout occurs, the cryptocurrency’s fate hangs in the balance.

This content is informational and does not constitute financial advice.