XRP Could Test Descending Triangle Support Before Next Impulsive Phase

XRP kicked off 2026 with impressive momentum, surging nearly 22% to reach $2.41 before facing profit-taking pressure. The token has since pulled back to around $1.41 as of March 2026, registering a 2.95% decline over the past 24 hours while the market caps at $86.26B. This correction phase has sparked debate among technical analysts about the sustainability of the rally and where buyers might re-enter the market.

According to CoinsKid, a trader with a proven track record of accurately identifying XRP support zones, the current pullback follows a bearish structure breakdown at the $1.90 level. He believes XRP is now working through a macro ABC correction pattern, with the final C-wave still unfolding. The analysis suggests this volatility is typical when prices consolidate near long-term resistance zones.

Technical Structure Points To $1.14 As Key Descending Triangle Support

The current price action has formed a descending triangle pattern that may shake out emotional traders before triggering the next rally phase. CoinsKid notes that Bitcoin’s bullish divergence signals remain absent, indicating the broader market correction cycle could still have room to run. These pullbacks within descending triangle formations are common price action mechanics that help accumulate liquidity below key support levels.

Based on Fibonacci analysis and historical price behavior, CoinsKid identifies $1.14 as the primary bid zone where strong buying interest could emerge. This level aligns with previous accumulation ranges where institutional and retail buyers stepped in before impulsive rallies took off. The trader points to similar support-to-bounce scenarios at $0.29, $0.38, and $1.64 as proof that XRP respects established support zones.

Historical Accumulation Zones Mark Critical Buyer Entry Points

What makes the $1.14 level particularly significant is its correlation with previous market cycles. Each time XRP tested these lower zones, it subsequently launched into strong impulsive moves higher. Traders observe that when prices approach these historical accumulation ranges, long-term buyers typically enter positions ahead of major rallies. The consistency of these patterns suggests disciplined buyers are positioning for the next leg up.

The $1.14 support zone isn’t arbitrary—it represents a confluence of previous reaction lows and Fibonacci retracement levels that have repeatedly validated as buyer zones throughout XRP’s trading history.

Institutional ETF Support Strengthens Long-Term Bullish Case

Despite short-term bearish pressure, the long-term outlook for XRP remains constructive. CoinsKid maintains his bullish stance, expecting XRP to eventually break through resistance and enter a new impulsive phase that could drive prices toward double-digit levels, with a long-term target near $27.

This optimistic scenario gains credibility from growing institutional participation. The spot XRP ETF has recorded $1.49 billion in total inflows, signaling sustained institutional demand even amid recent volatility. This structural support suggests professional money continues to build positions at lower prices, providing a floor beneath the current correction.

The long-term validity of the $27 target depends on XRP holding its major support structure. As long as key long-term levels remain intact, the descending triangle pattern that’s currently shaking weak holders represents a accumulation opportunity rather than a reversal signal.