The price of XRP may adjust to 2.40 USD before continuing to be bullish.

The price of XRP is at 2.8414 USD at the time of the press release, and it is likely to adjust to 2.40 USD, a level that analysts describe as healthier structurally compared to the immediate upward trend.

On September 18, the Ripple token fell below 3 USD and has decreased by 1.35% in the past 24 hours. Analyst Egrag Crypto released a technical analysis on September 29, highlighting the potential for a short-term correction.

XRP price target in the range of 2.35 USD-2.40 USD

Egrag Crypto estimates a 70% probability for a correction before an upward trend occurs, which he considers a better structural option. He also points out that there is a 30% chance that the price of XRP could rise immediately, but warns that this scenario could lead to a strong correction.

“Many technical analysts, including myself, believe that prices tend to revert to their fair value over time, which often leads to filling in gaps.”

Egrag determines that the reasonable value range is between 2.35 USD and 2.40 USD, based on the principle of mean regression.

XRP price chart | Source: Egrag Crypto, XThe analyst used a three-day chart timeframe to capture long-term trends while considering short-term price fluctuations. He noted that filling the previous gap took about 129 days, predicting a similar timeframe around November 15, although he emphasized that significant price fluctuations are more important than specific dates.

He also predicts an initial drop to 2.65 USD for the price of XRP. If this level holds firm with confirmed price action, it could represent a bottom. However, he stated that he is looking for a drop of Ripple to around 2.30 USD - 2.40 USD before the final uptrend begins.

A reasonably filled value gap may indicate a reversal from a downtrend and serve as an important level in technical analysis.

Technical levels of support attract attention

Analyst Ali Martinez shared on September 28 that the price of XRP has held steady at the 2.70 USD area. He identified the possibility of bouncing up to 3 USD or 3.15 USD based on technical support patterns for the Ripple coin.

The chart shows multiple historical support tests around the 2.70 USD - 2.80 USD level in recent months.

XRP Price Analysis | Source: TradingView, Ali MartinezAnalyst Steph is Crypto noted on September 30 that the XRP liquidation heat map shows heavy clusters forming below the 3 USD level. The concentration of liquidation levels suggests the potential for volatility if the price tests those areas.

The heat map shows intensity from yellow to green around the level of 2 USD-2.50 USD, indicating accumulation positions that are prone to liquidation.

Egrag Crypto explains that reasonable value gaps act as important support zones:

“I hope it holds up to allow for a stronger pump, potentially forming a solid bottom structure.”

XRP liquidation heat map | Source: Steph is Crypto, X## Certainty about the approval of the ETF could drive XRP's price up

Bloomberg's senior ETF analyst, Eric Balchunas, stated on September 29 that the probability of altcoin ETF approval in the U.S. has reached 100%.

His comments refer to a report by journalist Eleanor Terrett, in which the SEC is said to have requested issuers to withdraw their filings and resubmit them according to the recently approved general listing standards for cryptocurrency ETFs.

As of September 30, six XRP spot funds are awaiting approval with deadlines ranging from mid-October to mid-November. This makes investors optimistic about the potential price increase of XRP in the near future.

In this context, Ripple's products recorded the second-largest inflow of funds for the week from September 22 to 26, reaching 93.1 million USD. This movement may be a positioning of investors who are anticipating the approval of the ETF and expecting a price increase.

The current price of XRP is being positioned for a potential correction to the level of 2.40 USD in the short term. However, the long-term outlook remains positive as institutional inflows increase ahead of the anticipated altcoin ETF approval.

Mr. Teacher