XRP has again flashed a buy signal on a monthly chart, raising the likelihood of a rebound, but breaking through resistance at $1.06 has emerged as a near-term dividing line.

On Aug. 10, blockchain outlet The Crypto Basic reported that analyst Ali Martinez said the Tom DeMark Sequential on XRP's monthly chart signalled a buy. Tom DeMark Sequential is a technical indicator that analyses price action over a set period to spot trend exhaustion and potential reversals.

The key is that the indicator has previously identified major bottom zones with relatively high accuracy. Martinez said the signal produced three meaningful moves over the past six years. After a buy signal in April 2020, XRP rose 1,074%, and a signal in August 2022 was followed by a 973% gain. By contrast, a sell signal in April 2025 was followed by a 57% drop. Martinez said that if this signal is confirmed, XRP could again prepare for a sharp upside move.

Accumulation by large holders was also presented as a bullish sign. Based on Santiment data, large XRP holders added more than 380 million XRP over the past week. With XRP sitting at a price far below levels seen in early 2026, the interpretation is that large investors are increasing positions in anticipation of a rebound.

Still, it is hard to say the market has immediately changed direction. The most important level now is $1.06. Martinez said about 3 billion XRP traded around $1.06, and viewed the zone as strong supply and resistance. That means the area, where trading was heavily concentrated, has a high likelihood of renewed selling pressure.

That makes whether the monthly close can finish above $1.06 a key variable for the next move. Martinez said that if the price clears that level, the bullish scenario could gain more support. He then pointed to $1.35 as the next level to watch, and mentioned $1.64 could become the next target if upside momentum continues.

XRP is still trading below $1.06. Based on CoinMarketCap, XRP was trading around $1.01, down about 2.5% over the past 24 hours and 6% over the past week. It is down about 44% since the start of the year.

In the end, the market's immediate focus is on the battle around $1.06. A technical buy signal and whale accumulation have appeared at the same time, but to turn into an actual rebound, the move above this level must first be clearly confirmed on a monthly basis. The $1.35 and $1.64 levels remain scenarios that could open up after that.

$XRP READY FOR A BULL RALLY 1/5