Analyst Warns: Final XRP Dump Before Explosive Run—Last Chance to Buy Low?

One analyst's warning cuts through the market noise: XRP might be gearing up for one last shakeout before a parabolic move.

The Setup Before the Surge

Patterns on the chart suggest a classic accumulation play. Weak hands get flushed out in a final, nerve-wracking dip—a last-dump scenario that often precedes a major breakout. It's the old Wall Street playbook, just with digital assets and way more Twitter chatter.

Reading the Signals

Technical indicators are hinting at a coiled spring. The analysis points to key support levels that, if held, could launch the next leg up. Forget the daily noise; the weekly and monthly frames tell the real story of building momentum.

The Finance World's Cynical Take

Of course, traditional finance veterans might scoff—calling it another 'greater fool' theory play in a sector famous for them. But in crypto, that narrative often fuels the very run it mocks.

The countdown might be on. Either this is the final discount before a rally that redefines expectations, or it's just another day in the volatile crypto casino. The charts, for now, are betting on the former.

XRP Run 2026 Outlook As Final Dump Shapes Breakout Setup

The recent price action shows XRP trading within a purple channel on the daily chart, having entered this pattern after hitting $3.67 in July 2025. Since then, the asset has formed lower highs and also lower lows, with the most recent peak reaching $2.41 on January 6 before dropping 12.8% to $2.10.

Three distinct channels—colored red, green, and even purple—have been identified as critical zones that either suppress bullish momentum or accelerate price declines. The purple channel currently contains XRP’s price movement, and its boundaries are being closely monitored by traders looking for signs of an XRP breakout 2026 actually happening.

Technical Resistance Creates Deadly Combo

The rejection from $2.41 wasn’t random at all. Bertrandtissotgm explained that the upper trendline of the purple channel aligned with the 200-day exponential moving average at $2.33, creating what he called a deadly combo that proved difficult to overcome. The positioning of shorter-term moving averages reinforced this technical barrier—the 20 EMA at $2.03 and 66 EMA at $2.12 both sit below the 200 EMA, signaling bearish momentum along with the broader correction.

Lower timeframe momentum indicators are showing divergence continuation, and the On-Balance Volume (OBV) reveals XRP lacked sufficient strength to push through this resistance zone at the time of writing. Yet some analysts watching the XRP run 2026 setup view this weakness as temporary rather than terminal.

XRP Final Dump Targets Key Support Levels

The analyst highlighted two potential support zones where XRP might bottom during this final correction. The red channel support sits at $2.12, a level already breached during the recent 7.5% drop over 24 hours. The green channel support rests around the psychological $2 mark, approximately 5% below current prices.

Bertrandtissotgm considers this XRP final dump essential for chart health before XRP goes to the moon. Analysts interpret the sideways trading pattern as consolidation needed for broader bullish development rather than a trend reversal, which some see as setting up the XRP moon run 2026 scenario.

Correction Viewed As Healthy Retracement

The pullback makes sense given XRP’s performance since the start of the year actually. A correction was deemed necessary after the notable price increase, and the current dip is being framed as a healthy retracement that allows the asset to build a stronger foundation for the anticipated XRP run 2026.

The XRP moon run 2026 scenario depends on how well the token holds these support levels and whether buying pressure returns once the correction completes. Analysts emphasize that certain aspects of XRP’s price structure remain obvious, yet some market participants fail to recognize their significance right now. The three-channel framework has repeatedly proven its relevance in predicting XRP’s movements, making it a useful tool for mapping potential future trajectories and informing the xrp price prediction 2026 outlook.

As the correction unfolds, attention turns to whether XRP can maintain support above $2 or if further downside toward the lower boundaries of the red or green channels becomes necessary before the anticipated rally materializes. The XRP breakout 2026 timeline could shift depending on these technical factors, and the XRP final dump might extend deeper than initially expected if volume doesn’t pick up soon.