XRP has established a robust base around the $2.00 psychological support level over the past 14 months, with XRP Price Prediction suggesting that a breakout from this consolidation zone could terminate the current downtrend and initiate a fresh bullish cycle. Crypto analyst Darkfost suggests XRP may replicate a pattern seen in April 2025, when the asset staged a significant reversal near the $2.00 base, supported by excessive short positioning that eventually fueled an upward move through short-squeeze dynamics. Negative Funding Rates point to potential XRP reversal "This pattern has occurred twice since 2024. Between August and September 2024, and again during the April 2025 correction, funding rates turned negative for a period before a bullish rebound took place, driven by a shift… pic.twitter.com/ewlLMqtwwV — Darkfost (@Darkfost_Coc) January 21, 2026 Binance Funding Rates Show XRP Reversal Catalyst Currently trading approximately 50% below its $3.66 high reached in July 2025, XRP has entered a natural distribution and correction phase following an exceptional 600%+ rally since November 2024. Such consolidation periods typically represent healthy market behavior after substantial price appreciation. Darkfost’s analysis shows that XRP now faces predominantly short positioning, with Binance funding rates remaining largely negative since December, reflecting the dominance of leveraged short positions. Source: CryptoQuant Historical market behavior demonstrates that assets frequently move against delayed consensus. “While accumulated short positions create immediate selling pressure, they simultaneously build latent buying pressure. Should prices begin rising, forced liquidations of these short positions could amplify upward momentum,” he explained. This pattern has materialized twice since 2024. Between August and September 2024, and again during the April 2025 correction, funding rates turned negative before bullish rebounds occurred, validating the contrarian signal. XRP Price Prediction: $2.50 Level Critical for Breakout The weekly XRP/USDT chart displays price compression near a well-established demand zone, with XRP trading just beneath the 9-week Simple Moving Average around $1.96 following an extended corrective move from the $3.66 peak. The most significant structural element remains the $2.00 region, which has functioned as a base for approximately 14 months while consistently absorbing selling pressure. Source: TradingView Repeated downside tests into this zone have failed to trigger sustained breakdowns, reinforcing it as high-confidence support. From a trend perspective, XRP remains constrained below the descending resistance trendline and the $2.50 horizontal resistance, which collectively form the primary barrier for meaningful trend reversal. The $2.50 level also aligns closely with the 0.786 Fibonacci retracement, establishing it as a critical breakout threshold. A weekly close above this zone would likely invalidate the corrective structure and clear the path toward the $3.00–$3.10 region, where the 0.618 Fibonacci retracement resides. The Relative Strength Index holds in the low-40s and has printed clear bullish divergence, signaling diminishing downside momentum despite price making marginally lower lows. As long as XRP maintains weekly closes above the $1.85–$2.00 support band, the bias favors consolidation followed by gradual upside attempts. A confirmed break above $2.50 would likely trigger trend expansion toward $3.00 and beyond, while a decisive loss of $1.85 support would invalidate the bullish divergence and expose XRP to deeper retracement toward the $1.50 region. Maxi Doge Raises $4.5M: Next 10x Memecoin Play? If XRP breaks out toward $3.00 and continues its bullish trajectory, presale projects like Maxi Doge (MAXI) could attract capital from investors pursuing high-return opportunities in the memecoin sector. Maxi Doge is an early-stage memecoin following the Dogecoin strategy that helped it generate over 10x returns during the 2023-2024 breakout cycle. The MAXI presale has already raised over $4.5 million , offering investors 70% annual staking rewards at the current $0.0002801 price point. The project has established an alpha channel enabling traders to share strategies and trade ideas, mirroring community-building tactics from early Dogecoin days that helped cultivate engaged holder bases. Interested investors can join the presale by visiting the official Maxi Doge website and connecting a cryptocurrency wallet like Best Wallet. The token is available for purchase using USDT, ETH, or direct bank card payment for immediate access. Visit the Official Maxi Doge Website Here The post XRP Price Prediction: XRP Forms 14-Month Base at $2 – Charts Signal Breakout Toward $3 appeared first on Cryptonews .
