XRP slid more than 4% from its recent high of $1.45, but a widely followed technical tool is now telling traders to watch for a rebound. The Tom Demark Sequential indicator flashed a buy signal on the 4-hour chart, after a series of red candles that pushed the token down to around $1.39.
TD Sequential Signal Flips to Buy
The TD Sequential, a timing indicator used to spot trend exhaustion and potential reversals, gave the buy signal as XRP retreated from the $1.45 peak reached earlier this week. That high itself coincided with a sell signal from the same indicator, suggesting the drop was telegraphed. Now, with the buy signal appearing, some traders see the local selling pressure as spent.
Analyst Ali Martinez pointed to the pattern on social media, saying the local exhaustion is over and XRP looks ready to bounce. Martinez's assessment hinges on the sequence of red candles that preceded the signal — a setup the indicator interprets as a high-probability turning point.
Martinez Eyes Key Resistance Levels
Martinez set a near-term target at the $1.45 resistance level, the same area that triggered the earlier sell-off. If XRP reclaims that price, he sees a path to $1.80. That would represent a roughly 29% gain from current levels.
At the time of writing, XRP is trading at $1.39, down 1.5% in the last 24 hours. The token has been volatile, with the $1.45 high marking a local top that the TD Sequential correctly flagged. Whether the buy signal leads to a sustained rally depends on XRP breaking above that resistance.
For now, the indicator is giving bulls a reason to watch the 4-hour chart closely. The next move will likely test whether the exhaustion was truly local, or if more downside is ahead.
