VWAPs Don’t Lie—XRP Faces Judgment Day At Monthly | XRP News

XRP is drifting back to the decrease boundary of a five-month trading vary, but the higher-time-frame construction stays intact, in line with a each day chart printed on May 7 by analyst Dom (@traderview2). The chart covers late-December 2024 by means of the primary week of May 2025 and reveals XRP after breaking above a descending trend line that originates on the January 16 high close to $3.40.

XRP Is ‘Holding Strong’

Dom’s evaluation hinges on a trio of anchored Volume-Weighted Average Prices, or VWAPs, that are plotted as adaptive bands on the chart. VWAP represents the average price of an asset over a specified period, weighted by trading quantity; in essence it tells merchants the extent at which the majority of transactions have occurred.

Because massive institutional desks usually benchmark execution high quality in opposition to VWAP, the road tends to behave as dynamic help or resistance when price retests it. When the anchor level is shifted—from the beginning of the month, quarter or 12 months, for instance—every VWAP gives a lens on how supply-and-demand has advanced over that discrete window.

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The cyan line marks the quarterly anchored VWAP, at present located at $2.2796, a degree that rejected price final week and precipitated the ongoing pullback. The orange line denotes the month-to-month VWAP, now at $2.0574, and price is hovering simply above it; Dom sketches a curved route suggesting that a constructive bounce right here may propel XRP back towards the mid-$2.20s.

Below, a inexperienced ribbon captures the yearly anchored VWAP at $1.8731, flanked by its standard-deviation envelopes at $1.7863 and $1.6996. The April 7 capitulation wick bottomed exactly into that yearly imply earlier than snapping larger, underscoring its significance as a structural foothold.

“The VWAPs continue to play perfect, local low was yearly VWAP, rejection last week was off quarterly VWAP and now we are heading to retest the monthly VWAP,” Dom states.

The Key Support Zone

Horizontal motion is equally telling. Since early December the market has ranged between roughly $1.94 and $2.05, a zone highlighted on the chart by a gray rectangle and 6 inexperienced arrows flagging prior deflections. Dom characterises the current retreat as a “healthy retest” of that ground; solely a decisive each day close beneath the band would tilt the bias decisively bearish.

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Until then, XRP is, in his phrases, “already strong” relative to different large-capitalisation altcoins which have damaged comparable ranges, regardless that it’s quickly exhibiting weak spot versus a surging Bitcoin dominance index. “XRP is still holding its range from Dec (no other large cap is anywhere near that) so it’s already been strong while others just bled. BTC.D is on a terror run and BTC is just dominating the flows,” Dom writes by way of X.

Technicians will deal with two intersecting signposts over the approaching classes: whether or not bulls can defend the $2.00 deal with and whether or not the month-to-month VWAP can again flip from resistance to short-term help. A failure at any of these checkpoints opens the door for a deeper voyage towards the yearly VWAP round $1.87, whereas a profitable protection would reinforce the narrative that the bigger consolidation stays merely a pause within a still-valid structural up-trend.

“I am expecting a reaction off this range low, losing that would be where things turn bearish/murky, but for now, it’s a healthy chart,” Dom concludes.

At press time, XRP traded at $2.20.

Featured image created with DALL.E, chart from TradingView.com