XRP (CRYPTO: XRP) is down 2%, going through what one analyst says is one final liquidity-driven selloff before a potential bullish reversal.
Will XRP Retest $1.22?
CryptoinsightUK suggested in his podcast on Oct. 21 that XRP may be approaching the end of its correction, although another downside move remains possible.
The analyst identified $1.22 as a potential entry zone, where an ABC corrective pattern could align with concentrated liquidity.
He explained that markets often experience a final selloff before reversing higher, particularly when traders begin positioning for a recovery too early.
On the hourly chart, bearish RSI divergence remains a concern, suggesting the recovery could face short-term selling pressure.
Meanwhile, XRP has already shown signs of improving momentum, including a bullish daily crossover and a potential shift toward higher highs and higher lows.
Are Major XRP Ecosystem Catalysts Approaching?
Beyond technical indicators, Crypto Insight UK highlighted several developments suggesting XRP’s ecosystem could be entering a more active phase.
- Cross River Bank: The longtime Ripple banking partner announced plans to integrate the XRP Ledger for stablecoin-related activity.
- XRP ecosystem expansion: New XRP-related websites and marketing initiatives could signal increased efforts to promote adoption.
- Ripple Swell: The company’s upcoming Oct. 27–29 event could bring additional ecosystem announcements.
- DTCC tokenization: An anticipated Oct. 28 platform milestone has fueled speculation about possible Ripple-related developments, although no involvement has been confirmed.
He maintained that improving macroeconomic conditions like a spike in Treasury yields, combined with growing XRP Ledger activity, could create a favorable backdrop for XRP.
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