XRP approaches the key resistance level of the descending channel, with technical patterns indicating a potential target of $4.00

February 26 News: XRP price continues to move within a multi-month descending channel structure. Technical analysis indicates that a successful breakout above the upper resistance zone could trigger a new upward rally, with the target set near the critical $4 level. Since October 2025, the overall crypto market has been under pressure, with a total market cap loss of over $2 trillion. Mainstream altcoins like XRP have also weakened, with XRP’s market cap shrinking by approximately $101 billion, and its price trend significantly affected by a medium-term downtrend.

Market data shows that during the approximately seven-month correction cycle, XRP has been oscillating along two parallel downward trend lines, forming a typical descending channel pattern. This structure usually indicates a controlled decline rather than panic selling. The upper boundary acts as a dynamic resistance, while the lower boundary provides temporary support. Currently, the price is gradually approaching the edge of the channel, and a breakout signal is a key short-term observation point.

Analyst Don Wedge pointed out that the current support structure can be traced back to the medium-term channel formed after XRP retreated from the $3.6 high in July 2025. By early 2026, XRP has retraced about 62% from its high, oscillating around the $1.3 to $1.4 range. Historically, XRP attempted twice in January and October 2025 to break through the upper channel resistance at approximately $2.4 and $3.1, but neither attempt resulted in an effective volume breakout.

Historical cases provide some reference for bulls. Previously, within a similar descending channel, XRP successfully broke through the key resistance at $2.2 in June 2025, quickly surged, and reached a high of $3.6 the following month. Based on this technical comparison, Don Wedge believes that if the price later breaks through the trend resistance around $1.7, market momentum could strengthen, pushing XRP toward higher levels, with some traders setting a potential upside target near $4.

However, the technical pattern still carries uncertainties. If the price falls below the lower boundary of the channel, bearish pressure could intensify, leading to a deeper correction. For investors focusing on XRP price forecasts, breakout signals from the descending channel, and altcoin technical trends, the current range has become a crucial battleground for determining the medium-term trend direction.