XRP’s Bollinger Bands have compressed to their narrowest levels since August. Analyst Ali Martinez (@ali_charts) highlighted this development in a recent update, pointing out two precise price levels that will dictate the asset’s next trajectory.
Bollinger Bands serve as an indicator of market volatility. When these bands squeeze together, it typically indicates that a substantial price movement is on the horizon. While the squeeze highlights building market pressure, it does not confirm the direction of the upcoming move.
Martinez pointed out that the previous instance of this compression level saw XRP surge by 71% over a three-day period. This historical precedent provides background for the current market conditions, though prior performance does not ensure a similar result.
XRP: A BIG MOVE IS COMING
The Bollinger Bands on the 4-hour chart have squeezed to their narrowest levels since August.
The last time they were this compressed, $XRP rallied 71% in just three days.
But a squeeze doesn’t predict direction.
That’s why I’m watching:
• 4H close… pic.twitter.com/Dy2vRNlXWZ
— Ali Charts (@alicharts) November 2, 2026
The Two Levels That Define the Trade
Martinez outlined distinct conditions for both bullish and bearish outcomes. A bullish breakout would be indicated by a 4-hour candle close surpassing $1.27, whereas a 4-hour candle close falling beneath $1.23 would point toward a bearish move. Martinez designates the space between these figures as “the no-trade zone.”
With the current price resting at $1.25, the asset is positioned right in the center of that bracket. Martinez recommends refraining from opening a position until one of these parameters is broken by a 4-hour close.
Why the Squeeze Carries Significance
The parallel to August is notable. On the 4-hour timeframe, Bollinger Band squeezes exhibiting this degree of tightness happen infrequently. Achieving a comparable level of constriction twice within a few months points to a repeating volatility trend within XRP’s recent price action.
Rather than forecasting a specific direction, Martinez framed the squeeze as a condition that demands confirmation prior to taking action. His technical breakdown keeps the underlying signal separate from the actual trading choice.
What the Chart Shows
Around October 29, the 4-hour chart registered a steep price drop. Triggered by the attack on Binance, this downturn impacted the broader market. A consolidation phase around $1.25 ensued, during which the Bollinger Bands noticeably contracted. As the bands tightened, XRP remained confined to a narrow band.
As outlined by Martinez, this configuration demands patience. Observers of the chart are advised to wait for a verified close outside the $1.23–$1.27 boundaries before committing capital. While the Bollinger Band squeeze points to potential opportunity, the candle close supplies the directional confirmation.
Martinez refrained from sharing any personal bias regarding the asset’s trajectory. Instead, his commentary establishes the necessary criteria and allows market price action to dictate the outcome. Summing up his methodology for the setup, he stated, “A squeeze doesn’t predict direction.”
Frequently Asked Questions
What does a Bollinger Band squeeze mean for XRP?
A Bollinger Band squeeze indicates that volatility has dropped significantly and that market pressure is building up, which typically precedes a major price move. However, the squeeze itself does not indicate whether the price will go up or down.
What are the key price levels Ali Martinez is watching for XRP?
Analyst Ali Martinez is monitoring a 4-hour candle close above $1.27 for a bullish signal and a close below $1.23 for a bearish signal. The space between these two figures is referred to as “the no-trade zone.”
What happened the last time XRP’s Bollinger Bands reached this level of compression?
The last time the 4-hour Bollinger Bands reached a similar level of compression, XRP rallied by 71% in just three days, though past performance does not guarantee future results.
What caused the sharp price drop on the 4-hour chart prior to the consolidation?
The sharp price drop around October 29 affected the broader market and was caused by the attack on Binance.
Written by
Elara Winter
