The crypto market is rarely calm, and XRP’s current setup is proving it once again. Following a sharp sell-off that rattled investors a few days ago, the digital asset is now testing a crucial technical zone that could determine its next major move.
Whether this becomes a recovery springboard or the start of another downturn remains to be seen — but analysts are already weighing in with sharp technical observations.
JD Spots a Critical Technical Setup
Renowned crypto analyst JD, who accurately predicted the recent XRP crash months in advance, has now shared another key observation on X. According to JD, XRP’s chart is displaying a hidden bullish divergence, signaling potential underlying strength despite the recent turmoil.
He further explains that the asset has completed a textbook breakout and retest of a descending trendline, suggesting that the current consolidation could serve as a springboard for another upward leg — provided that the price action holds above the retested support.
$XRP – After calling CRASH months in advanced using TA
There's now potential H. Bullish Divergence w/TEXTBOOK breakout/retest of trendline!
Sometimes we may retest golden ratio of the capitulation. However, if we bounce now, expect GREEN BOX next then CRASH into BEAR MARKET!… pic.twitter.com/Wo01cK0iog
— JD
(@jaydee_757) October 13, 2025
However, JD cautions that this is a pivotal moment: while a bounce could trigger a rally into his marked “green box” target area, a failure to hold this structure might usher in a renewed crash and a broader bear market phase.
Technical Context and Market Mechanics
The backdrop to this analysis is a volatile few weeks for XRP. The latest correction was fueled by extensive liquidations and whale activity, which accelerated the decline as leveraged long positions were wiped out. Exchange data showed heightened outflows and abrupt price swings, conditions that often precede large-scale trend reversals or deeper capitulation events.
JD’s current call hinges on how XRP reacts to its trendline retest. If the hidden bullish divergence confirms and buyers defend this level with strong volume, technical targets in the $2.65–$2.80 range could come into play.
Conversely, rejection or fading momentum could drag prices back toward lower structural supports between $2.20 and $1.80, levels that historically served as liquidity pools during prior drawdowns.
The Golden Ratio and the Road Ahead
JD also references a possible revisit to the “golden ratio” of the capitulation move — a Fibonacci retracement level often seen before major reversals. Such a retest, if it occurs, could either affirm bullish continuation or precede a final capitulatory drop.
This dual outlook emphasizes that the market’s next move is conditional, not guaranteed. For now, all eyes are on how XRP behaves in the coming sessions — particularly around the trendline and volume thresholds JD identified.
A Defining Moment for XRP
JD’s latest technical projection offers a balanced roadmap amid the uncertainty. With XRP currently holding near $2.45, the market sits at a crossroads: either validation of the rebound narrative or confirmation of a deeper structural decline.
In a space where sentiment can shift in hours, XRP’s next few candles could determine not just its short-term fate, but the tone of its broader market narrative heading into the final quarter of 2025.
This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent the opinion of the publication. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk.