XRP is now looking to break above the neckline of an inverse head and shoulders pattern, with prices targeting a run above $2.
XRP’s price action has been rather favorable to bulls over the past few weeks. After suffering consistent declines from July 2025 to June 2026, XRP embarked on a recovery campaign in July 2026 and has now recorded three consecutive monthly green candles for the first time in a year.
XRP Forms Inverse H&S Pattern
Interestingly, the recent performance has brought XRP close to completing a bullish inverse head and shoulders pattern that started forming early this year and has held over the past months.
For context, an inverse head and shoulders is a bullish technical pattern that often appears near the end of a downtrend. It features three troughs, with the middle one (the head) forming the lowest point and the other two (left and right shoulders) forming shallower lows.
This structure began for XRP after the asset collapsed from the $2.41 peak in early January 2026. From there, XRP dropped to around $1.55, held this area, and then gradually dropped lower to $1.27 by April 2026 before recovering to $1.54 in May. This formed the left shoulder.
Meanwhile, the head formed when XRP dropped again to hit a lower low of $0.98 in August 2026 before rebounding and launching the latest recovery campaign. This head showed that bears mounted greater selling pressure, but the market eventually rebounded from the downturn.
XRP’s recovery pushed it back above $1.5, but the asset continued to face intermittent declines, dropping to $1.25 in mid-September before recovering to $1.51 again. This price action helped form the right shoulder.
What Confirms a Breakout
Notably, the inverse H&S structure often becomes more important when the asset’s price moves above the neckline, the resistance level connecting the recovery highs. A confirmed breakout could suggest that buyers are gaining control and that the price may move higher.
In XRP’s case, the neckline sits at around $1.54-$1.55, just slightly above the current price of $1.51. XRP must sustain its current recovery campaign and push above the $1.54 area to confirm a breakout above the neckline, which would complete the pattern formation.
A break above this neckline may lead to a pullback to retest the breakout. If XRP holds above the $1.5 area when such a pullback plays out, the breakout strength would be confirmed, possibly pushing prices to greater heights. The measured move points to the $2 area as the possible target.