[Digital Today reporter Jinju Hong (홍진주)] XRP has risen about 40% in August, posting its highest August return in the past five years, blockchain outlet U.Today reported on Monday.

XRP at one point climbed to around $1.48, reversing a sharp downtrend that had continued through spring and summer. In this rally, the market is focusing less on the jump itself than on the role change at around $1.147. That level had been a strong resistance that blocked XRP’s advance for months, but it broke above it this week, raising the possibility it could turn into a key support on a future pullback.

On TradingView charts, the move is interpreted as long-suppressed volatility being released at once. XRP traded near $1 through the summer, and $1.147 acted as a ceiling during that period. As the Bollinger band squeeze ended, the price punched through resistance strongly from below, moved above the upper band and then settled near $1.4853.

The market is viewing this pattern as a “typical release of pent-up energy.” While it may look like a sudden spike, the charts suggest it is the result of an end to a months-long compression zone.

The relative strength index, or RSI, was cited as a basis for assessing additional upside potential. On higher time frames, the RSI remains in a neutral range of 49 to 55. That suggests there is no clear overheated signal, prompting views that the current rally is not at a stage of cooling excessively right away.

If the rise continues, the next key area is near $1.98, the monthly Bollinger band midline. If the buyer-led flow breaks above that zone, an analysis said the path could open for a return to the $2.4 to $3.2 range. This underpins a shift in the market’s upside target from a short-term spike to whether medium- to long-term price levels can be recovered.

If there is a short-term correction, the $1.14 to $1.24 zone could be tested again. The market is paying close attention to the idea that what was a broken resistance line is now turning into a final re-entry level. That is because if the price holds above $1.147, it can be seen as a sign the long-term uptrend is not damaged.

A pullback to the $1.14 area is also being discussed as something that could be accepted as an accumulation opportunity rather than a shift to weakness. The market sees a retest of the $1.14 to $1.24 zone as the best chance for further XRP accumulation. This scenario, however, is valid only on the assumption that the price keeps $1.147 as support.

Ultimately, the key short-term point to watch is whether the $1.147 level functions as actual support even if there is a pullback after the surge. If that zone holds, the recent August strength may be more likely to develop into a broader price-recovery move rather than remain a temporary rebound.