Powell’s Tone Could Send XRP to the Moon – Will It Break $2?

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Bitcoin, Ethereum and XRP are loafing in a tight standoff, as if they’re waiting for a bus that might be fashionable to miss or perhaps never arrive, while the Fed decision nose-dives into the scene and Powell’s tone could decide the next move with more flair than a magician’s wand.

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The Fed decision looms, while Bitcoin, Ethereum and XRP coil at key levels

Analysts note that traders have stopped staring only at the headline decision. Instead, “Powell’s tone and forward guidance are likely to drive volatility, not the actual rate decision itself,” as market chatter around the meeting insists that inflation, labour-market language and any hint of future easing or tightening will set the next big move. That shift has had prices compressing across the major coins: Bitcoin is “consolidating below $90k,” trading around 89,230 and “on the edge of a sharp bounce,” with any break above 90,000 seen as a trigger for renewed bullish participation, while a drop through 85,000 opens the door to a deeper dip. In the last 24 hours, BTC has hovered around 89,100 with a modest gain of roughly 0.8 percent, showing the market’s wholesome wait‑and‑see vibe.

Ethereum has “shown relative resilience compared to Bitcoin,” holding above the 3,000 line as folks keep positions defensive rather than directional. Technically, ETH has tested a 2,700 support and a 3,300 ceiling in recent months, with analysts warning that lingering near the lower end “may showcase a bear trap” before a potential push toward 3,500 if 3,300 finally gives way; a failure of 2,700 could expose 2,500 on the downside. Over the last day, ETH trades near 3,000, up around 2-3 percent, with a 24‑hour range roughly between 2,900 and just over 3,020.

XRP meanwhile is building a base just above the Federal Reserve’s line of fire. The token has “showcased accumulation near the key demand zone of $1.70-$1.90,” but “has not broken decisively past the hurdle of $2.40,” signaling still‑muted risk appetite despite renewed institutional interest. Strategists argue that a clean break through 2.40 could unlock “a major upswing toward $3 followed by $3.50,” provided buyers defend the 1.70 floor that keeps the bullish structure intact. Over the last 24 hours, XRP is trading around 1.91, up roughly 0.4 percent on the day, with intraday moves between 1.87 and just under 1.92.

Derivatives and rate‑probability tools back the calm. According to the CME FedWatch Tool, markets are “overwhelmingly pricing in a rate pause at the current range,” shifting attention “away from rates themselves” and toward Powell’s guidance, which has historically mattered more for crypto than a static policy line. Until the press conference, the majors look “stable and structurally prepared for volatility once clarity arrives” – a coiled market waiting for a sentence or two from the Fed chair to decide the next leg.

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2026-01-28 14:05