According to the analyst, the successful defense of this support, followed by a close back above $2.80, has created the conditions for a slight bullish divergence. The weekly chart supports this view, showing that XRP has consistently rebounded on higher lows while maintaining a broader ascending structure. Holding $2.72 prevents a breakdown of this pattern and keeps the longer-term uptrend intact.
Even in the face of the recent correction, the analysis pointed out that XRP is one of the stronger performers in the market. The chart comparison with XRP dominance (XRP.D) indicates that the token may have already bottomed in relative terms.
According to the analyst, the XRP dominance bottoming means that the crypto can only start going up from here. This dominance means that XRP could play a leadership role if the broader crypto market begins to trend higher again.
Although the bullish case is worth noting, the analyst also warned against complacency among bullish traders. The start of a new week and month often brings volatility, and October could also start with some sort of volatility.
As such, the XRP price could still experience a flush lower before any meaningful rally takes hold. However, this capitulation moment could be the final shakeout before XRP begins a stronger leg upward.
