XRP Price Outlook as Analyst Eyes 71% Rally After Bullish Bollinger Band Breakout

XRP price climbed 2.25% to $1.28 over the past 24 hours as traders assessed a potential bullish breakout. 

Bitcoin price traded around $76,000, while Ethereum hovered near $2,300. Solana also continued to come under pressure from the market while the general mood in the cryptocurrencies sector remained cautious.

The latest move has attracted attention following a Bollinger Bands squeeze on XRP’s four-hour chart.  The development coincides with the US midterm election in November, which will further complicate the market situation as another political event.

XRP Breakout Signals Potential 71% Rally as Bollinger Bands Tighten

XRP’s four-hour Bollinger Bands have narrowed to their tightest levels since August. This compression is a sign of reduced volatility, ahead of a potentially major price move.

The token has also broken above the upper Bollinger Band, which suggests an increase in bull market momentum. But the indicator doesn’t ensure that the buyer is in control.

Martinez said that the current lineup has historical significance. In the last similar period, XRP rallied around 71% over a span of three days.

That performance has sparked interest in another potential rally. But traders cannot use the historical comparison as a price target until it is confirmed.

The analyst saw two significant conditions that would be necessary for the next move. The bullish sentiment may further get validated if the candle closes above $1.27 with a duration of 4 hours. On the other hand, if the price breaks below $1.23, it might mean that the bears are back in the fray again.

The $1.23 – $1.27 area is thus a significant decision area. The immediate direction of XRP might be decided by a breakout on either of the boundaries.

XRP Price Outlook: Can Bulls Push Toward $1.30 and Beyond?

XRP’s momentum indicators provide additional insight into its short-term outlook. The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are still key indicators.

The four-hour RSI recently hovered in the 61 area, indicating that the momentum was improving, but not to an overbought level.

The main resistance levels are at $1.27, $1.30. If the XRP price continues to rise over $1.30 it may lead to higher recovery targets.

The immediate support level on the negative side is at $1.23. A breakdown may result in a test of $1.20 and losses may be further extended towards lower support levels.

The MACD also needs to be looked at for confirmation. The bullish cross on the 4-hour chart will be accompanied by an expanding positive histogram, which will solidify the recovery scenario. Further downtrend activity would dampen hopes for another rally for now.

XRP Network Growth Accelerates as New Wallets Hit 2026 Highs

XRP’s network activity is showing encouraging growth despite recent price weakness. On November 1, Santiment saw 7,934 new wallets with XRP.

That was the sixth highest daily wallet creation, ever in 2026. It also far surpassed the network’s recent average of ~700k subscribers, which used to be the daily peak.

The rise was especially significant as Sunday tends to see lighter blockchain activity. The surge came after the Binance hack, which might have prompted some of the users to try out self-custody.

But the link is still not confirmed. Creating wallets is not enough to create a greater demand for buying or to guarantee higher prices.

The ongoing growth of the network could make the situation better for XRP. The daily additions staying above the 4,000 mark, in conjunction with a recovery over $1.30, would be a positive trend for improving the adoption signal.

On the other hand, if wallet creation drops below 3,000 combined with an XRP price drop below $1.20, the picture would look bleak. Network activity will therefore become an important factor for traders in conjunction with technical confirmation.