An order book analysis of XRP on Coinbase, shared by order flow and volume trader Dom (@traderview2), highlights a significant bid/order book skew within 10% of the current price.
The analysis shows a bid imbalance exceeding 10 million XRP. According to Dom, this has occurred five times over the last two months, each leading to a minimum 23% price increase.
The chart marks these occurrences with white boxes, visually identifying past bid skews and their correlation with price movements. The most recent event occurred when XRP was at approximately $2.36 following a sharp decline attributed to tariff threats made by U.S. President Donald Trump.
$XRP orderbook analysis
Within 10% of price, XRP just flashed over a 10M bid skew on Coinbase
We've seen this 5 times over the last 2 months (white boxes)
Each time it's produced at minimum a 23% bounce pic.twitter.com/PKRFv8fnpB
— Dom (@traderview2) February 7, 2025
Historical Context and Repeated Patterns
Dom’s analysis emphasizes the predictive power of such bid skews, which indicate aggressive buying interest. Historically, these imbalances have coincided with local price bottoms and rapid upward movement.
The repeated nature of this pattern suggests that market participants with substantial capital anticipate price rebounds when liquidity concentrations appear at key levels. Examining the past bid skews, the chart indicates rebounds of at least 23%, with some instances leading to much larger rallies.
The most recent similar setup of early January contributed to a significant price surge to a multi-year high of $3.39. XRP is currently trading at $2.39, and a 23% climb from this level would send the asset to $2.94, placing it above crucial resistance levels.
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Current Market Structure and Implications
Given recent occurrences, a bounce remains a strong possibility. Liquidity zones in the chart indicate concentrated orders, with the latest bid skew suggesting that substantial buy orders are clustered around the $2.30-$2.40 range.
While XRP has already begun a rebound, the volume profile on the right side of the chart shows increased interest at lower price levels, which suggests XRP could stabilize before another upside attempt.
What’s Next for XRP?
While historical data suggests a high probability of a rebound, no trading strategy guarantees future results. Dom noted that the price does not always react immediately to an order book skew, and external market conditions could influence XRP’s ability to recover.
This bid skew presents a potential buying opportunity, with historical data supporting a strong likelihood of a rebound. Dom recently revealed that XRP has broken the 2017 fractal and is now charting a new course, and this move could be the start of something big.
Disclaimer: This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent Times Tabloid’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk. Times Tabloid is not responsible for any financial losses.
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