XRP (CRYPTO: XRP) has broken above the $1.39 resistance level, triggering early signs of a potential bullish shift according to technical analysis by trader Cryptoinsightuk.

The asset recently cleared several previous lower highs, disrupting a prolonged pattern of lower highs and lower lows. While the trader currently classifies the trend as neutral, a sustained break above $1.48 would confirm a bullish structure shift.

Price Targets and Macro Backdrop

If momentum continues after clearing the $1.48 level, XRP could target $1.58 initially. Further upside movement is projected toward the $1.70-$1.85 liquidity zone.

The trader cited an improving macro liquidity backdrop as a supporting factor. This includes discussions by Treasury Secretary Scott Bessent regarding potential increases in bond purchases, which could act as a tailwind for the broader crypto market.

Ripple’s Former CTO on Market Position

In a separate development, David Schwartz, former CTO of Ripple, addressed questions about XRP’s market position during an X Space session on Sept. 9. When asked if XRP could realistically "flip" Bitcoin (CRYPTO: BTC), Schwartz responded affirmatively.

Schwartz clarified that such a scenario would not result from Bitcoin shrinking but from XRP growing at a faster rate. He argued that crypto markets can support multiple expanding assets simultaneously.

He pointed to the functionality and speed of the XRP Ledger as key advantages. Additionally, he highlighted demand for features unsupported by Bitcoin as a potential driver for XRP Ledger adoption over time.

XRP and Bitcoin have moved in near-perfect lockstep since peaking on Sept. 3, but an upcoming XRP Ledger amendment could provide the first major opportunity for divergence.

The tight correlation suggests macro forces are currently driving both assets, according to Bitrue Research. The firm noted that the assets have consolidated in tight ranges following a retreat triggered by strong U.S. jobs data.

What the Numbers Show

The current price action reveals a dependency on broader market sentiment rather than asset-specific fundamentals. Bitrue Research highlighted that if XRP holds above $1.43 and pushes toward $1.50 while Bitcoin remains range-bound, it would indicate the recent correlation was circumstantial. Conversely, if XRP continues to match Bitcoin move-for-move despite the amendment, the market is likely treating the token primarily as a macro-sensitive crypto asset rather than one driven by independent ledger development.

Macro Headwinds

August CPI data due on Sept. 11 adds another layer of complexity ahead of the Federal Reserve’s Sept. 15-16 meeting. Soft inflation could lift both Bitcoin and XRP, while hotter inflation could pressure both. The key signal will be relative performance: if both assets fall by similar amounts, macro factors remain in control.

Analysts previously warned that BTC and XRP are flashing a bearish "Bart Simpson pattern," suggesting August’s sharp rally could fully reverse if key support levels fail.