XRP is trading at $1.12, barely moving as its MACD indicator flattens to zero. The price has been stuck in a narrow range for days, and the technical setup is drawing attention from traders who see a textbook pre-squeeze pattern.
Price action and the flat MACD
The Moving Average Convergence Divergence (MACD) line has converged to zero, a signal that often precedes a sharp move. When the MACD flattens like this, it suggests momentum has stalled and a breakout or breakdown is imminent. XRP has been oscillating around $1.12, unable to push higher or lower with conviction.
Volume has been relatively low, adding to the sense that the market is coiling. A decisive break above $1.12 could trigger a rapid move higher, while a flush below that level might accelerate selling.
Retail traders are overwhelmingly long
Data shows 72.5% of retail traders are holding long positions on XRP. That heavy skew toward the bullish side is itself a contrarian signal. In many markets, when the crowd is this one-sided, the opposite move can catch them off guard. But the setup here is being described as a textbook pre-squeeze — meaning the longs might be rewarded if the price breaks upward.
The question is whether the remaining 27.5% of shorts will be forced to cover, fueling a squeeze, or whether the longs will get trapped if the price flushes instead.
What the textbook setup means
Traders often look for a period of low volatility and converging moving averages as a precursor to a big move. With the MACD at zero and price stuck, the market is essentially coiling. A breakout above $1.14 would likely confirm the squeeze scenario, while a drop below recent support could trigger a cascade of stop-losses.
The next 24 to 48 hours are critical. Either the bulls will push through resistance and force shorts to cover, or the bears will take control and drive the price lower.
What to watch in the next 48 hours
All eyes are on the $1.14 level. A decisive break above that could send XRP sharply higher as short sellers scramble. Conversely, a failure to hold $1.10 might lead to a flush. The MACD's zero line is the pivot — if it turns positive, momentum shifts to the upside; if it dips negative, the downtrend resumes.
Traders are watching volume closely. Any spike on a break will confirm the direction. For now, the market waits.
