XRP/USD Bullish Breakout Eyed, $3.40 Target Emerges

On the daily chart, it is clear that XRP/USD is about to shoot through for a bullish breakout with a target of $3.40

XRP has been showing signs of a potential breakout on the daily chart, with the next target set at $3.40. This level was previously reached earlier in the year, and a return to this height would constitute a substantial gain from the current price of around $2.34.

One of the key indicators of the expected bullish continuation is the surviving bullish trendline, which has managed to withstand several corrections.

XRP Price Chart (Credit: TradingView)

The chart highlights a relevant resistance zone between the $2.54 and $2.65 levels, which also coincides with the 0.5 Fibonacci retracement level (2.50592). A decisive break above this zone would be crucial to sustain the buying pressure. Further resistance is anticipated near $3.02 (0.786 Fibonacci level), and a breach of this level would provide additional support for the $3.40 target.

On the downside, support is provided at $2.29, which aligns with the 0.382 Fibonacci retracement. Analysts emphasize the need for this level to hold to maintain the bullish structure intact. The chart also marks the bulls' target, indicating that a continuation of the rally is likely if major price resistances are overcome.

Funding Rate Signals XRP's Persistent Bull Run

Highlighting the recent bullishness, the funding rates from May 27, 2025, clearly demonstrate XRP's current trend. The Open Interest (OI)-Weighted Funding Rate chart from CoinGlass showcases a green hue, signifying a sustained bullish bias throughout May.

XRP OI-Weighted Funding Rate (Credit: CoinGlass)

At present, funding stands at +0.0081%, and XRP is trading around $2.30. The sustained positive funding rate signals that those holding long positions are willing to cover the costs associated with remaining in their positions, which in turn suggests a strong belief in further price gains.

This analysis contributes to the anticipation of a potential test of the $3.40 level as the final wave (v) of the 5-wave impulsive move, which is a common structure in technical analysis.

As XRP's funding and technical indicators align, setting the stage for a key turning point for the coin in the coming weeks.