XRP Battles Key Support Zone Amid Market Uncertainty

XRP is currently navigating a critical technical zone that could shape its near-term trajectory. Analysts believe this juncture marks a pivotal moment, potentially determining whether the digital asset continues its bullish momentum or falters under pressure.

According to chart analysis, XRP is retracing toward a cluster of Fibonacci levels that have historically served as key inflection points. The currency was last spotted trading near $2.10, only marginally below its recent daily average. This movement positions it just above the 38.2% Fibonacci retracement level of the rally that stretched from early April lows to the late April highs.

Reviewing the one-hour chart, an independent market analyst emphasized the importance of this decline. “Momentum is beginning to build, yet XRP is reaching one of its most decisive support areas seen in weeks,” the analyst noted.

The Fibonacci metrics are based on a price swing that occurred between $1.6169 on April 7 and $2.3622 on April 28. From this price range, the consequential Fibonacci levels are situated at:

• 38.2% – $2.0775
• 50.0% – $1.9896
• 61.8% – $1.9016

The space between $2.078 and $2.00 has once again surfaced as a crucial support corridor. This region has previously served as a market pivot, often heralding a move in either direction. Should buying strength reappear, this pocket could provide the rebound platform XRP needs.

The pullback from the $2.36 peak appears to follow a classic A-B-C correction wave. Within this structure:

• Wave A dropped the price below the 23.6% retracement line at $2.1863
• Wave B attempted recovery but failed to reach new highs
• Wave C is currently driving price action into the $2.00–$1.90 window

Traders have been cautioned about a possible final downward push to the $1.90 level before any bullish reversal emerges. As noted, such moves are often swift and could conclude before retail participants fully recognize the trend change.

Momentum indicators are also showing potential signs of a turning point. The one-hour Relative Strength Index (RSI) has formed a series of higher lows, diverging from the price’s downward trend. This pattern suggests that selling pressure may be easing even as prices continue to decline.

The RSI is hovering just beneath the 40 level, traditionally indicating waning bearish energy. Accompanying this, price movement is beginning to compact, a common precursory signal to stronger directional moves. These compression patterns, often found at key junctures, suggest preparation for a breakout or breakdown.

Looking above, key resistance zones based on broader Fibonacci retracements create several overhead targets. Notably:

• $2.2559 aligns with the 38.2% retracement of a macro price impulse and now acts as resistance unless reclaimed
• $2.2743 marks the 11.8% retracement level from the same trend
• $2.36 remains the prominent short-term ceiling for XRP

Traders are monitoring whether XRP can recover from its support base and target these resistance tiers. Should bullish momentum resurge, potential targets include $2.25, $2.68, and higher.

Within the trading community, speculation is also focused on external influences such as Bitcoin’s performance and decisions from the Federal Reserve. Some believe these macro elements could either confirm the existing bearish wave or trigger a sharp recovery. In response to a comment on position strategies, the analyst recommended spacing entries at $2.08, $2.00, and $1.90 — levels that align with expected support zones in the current corrective structure.

At last check, XRP remained stable around $2.14, a level perched just above the critical support range. Whether it maintains this footing or breaks lower will likely define the asset’s next major move.

Related: Expert Advice: Sell XRP If You’re Confused