Analyst Crypto Jex has shared an XRP spot trading strategy that presents a favorable risk/reward ratio for traders looking to capitalize on potential upside under current market conditions.
According to Crypto Jex, the XRP/USDT pair is currently moving within a clear range on the 4-hour chart. The analyst highlights the price range between $2.00 and $2.20 as a key accumulation zone. He noted that the lower end of this range has been tested multiple times in the past few weeks.
Jex argues that these repeated retests could mean strong buying interest, creating an opportunity for traders to enter at a favorable price point. Accordingly, he shared what he considers the ideal entry for XRP traders, along with stop-loss and profit-taking targets.
XRP Entry Point, Stop-Loss, and Target Levels
Jex’s strategy encourages traders to enter XRP between $2.00 and $2.20. He believes this area presents a potential low-risk entry based on recent price action and signs of accumulation.
Notably, amid the bearish pressure, since March, XRP has consistently defended the $2.00 level. Although it dipped below this level once, it quickly reclaimed it.
Essentially, the resilience XRP has shown around the $2.00 mark makes it a favorable entry point for some traders.
Meanwhile, Jex noted that a 4-hour close below $1.90 would invalidate the setup. As a result, he suggests setting a stop-loss at this level.
If the bulls prevail and XRP breaks above a higher resistance level, traders could target three profit-taking levels. The first target is exiting when XRP reaches $2.80. With XRP trading at $2.09, exiting at $2.80 would mean a gain of approximately 34%.
The second profit-taking target is when XRP reclaims $3.30, and the third target is when XRP surpasses $3.70. Notably, Jex has labeled this level as the breakout target.
Essentially, the XRP spot strategy suggests a structured approach with the potential for strong returns if the price moves in line with the analyst’s expectations.
By entering the position around $2 and setting the stop-loss below $1.90, traders can aim for up to 85% upside on XRP spot. Jex believes that the risk/reward ratio at these levels is particularly favorable.
Breakout Above $3.70 Could Ignite Strong Momentum
Meanwhile, the key to a more significant upward move lies in a potential breakout above the $3.70 level.
Jex indicates that if XRP can close above this price, it could trigger strong momentum, driving the price higher to the next target zone in the $4 range and beyond.
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