Ripple (XRP) has continued its strong upward trend recently and has entered a short-term technical resistance zone. While the upward momentum persists, some market participants believe overbought signals have been detected and that the possibility of a short-term correction should also be kept in mind.

According to the virtual asset market on the 22nd, technical assessments of XRP are divided.

■ "Daily Chart Resistance Reached, Overbought Territory Entered" — Community Trader Expects Correction

A trader in the CoinMarketCap community said XRP has reached a resistance level on the daily chart and entered overbought territory, offering the view that a short-term downward correction is expected in the current zone. However, this is merely an individual trader's technical judgment and does not definitively indicate the actual price direction.

■ Bullish Catalysts vs. Overheating Warning Signals

Recently, the XRP market has simultaneously shown factors supporting the uptrend and signals warning of short-term overheating.

According to recent market trends compiled by CoinMarketCap, XRP broke through a major resistance zone and buying pressure strengthened, with trading volume surging sharply in the Korean market. In particular, XRP trading volume spiked on domestic exchanges such as Upbit, indicating expanded market participation.

Accumulation moves by large holders and the expansion of payment services are also cited as factors boosting XRP investment sentiment. CoinMarketCap reported that over the past 96 hours, large wallets are estimated to have accumulated more than 300 million XRP. In addition, with expanded XRP support on BitPay's self-custody wallet, accessibility for payments and exchanges has broadened.

On the other hand, when prices rise rapidly in a short period, profit-taking pressure can technically increase. When overbought indicators such as the Relative Strength Index (RSI) enter high levels, temporary price corrections or sideways movement may occur even if the uptrend is maintained.

■ Maintaining Support Zone and Trading Volume as Key Variables

The market sees whether XRP can maintain the support zone secured during its recent rise as a key variable that will determine its next move.

CoinMarketCap's recent technical analysis also assessed that XRP is at a juncture where it must confirm whether it can break through the resistance zone alongside short-term bullish catalysts. If trading volume is sustained after the rise and the resistance zone is surpassed, the trend could extend further, but if selling volume increases while trading volume declines, it is difficult to rule out a move giving back part of the gains.

Ultimately, the current XRP market can be seen as a zone where strong buying pressure and short-term overheating concerns are working simultaneously. Some analyses suggest that even if the uptrend continues, a certain level of correction could serve as a process of easing market overheating and forming new supply and demand dynamics.

[This article was written with AI assistance. Virtual assets are high-risk assets with extreme price volatility. This article does not recommend the purchase, sale, or short selling of any specific virtual asset, and investment decisions and the resulting responsibility rest with the investor.]