XRP experienced a sharp decline, breaking below key support levels amid increased trading volume. Technical analysis indicates a bearish trend, with resistance at $2.37 and potential support around $2.08-$2.11.
What to Know:
- XRP experienced a sharp decline, breaking below key support levels amid increased trading volume.
- Technical analysis indicates a bearish trend, with resistance at $2.37 and potential support around $2.08-$2.11.
- Traders should monitor the $2.17–$2.22 range as a critical inflection point for short-term directional movements.
XRP faced notable selling pressure, leading to a significant price drop during Tuesday’s trading session. The digital asset broke through crucial support levels, accompanied by a surge in trading volume, signaling increased bearish sentiment. Investors are closely watching whether XRP can maintain its position above the $2.00 psychological threshold.
The recent price action confirms a bearish bias, with XRP establishing a pattern of lower highs and lower lows from the $2.37 resistance peak. This pattern, combined with increased volume during sell-offs and decreased volume during rebounds, suggests institutional distribution. Momentum indicators have also turned negative, reinforcing the potential for further downside movement unless significant demand emerges.
Despite a brief recovery attempt, XRP struggled to sustain gains above prior support levels, indicating a shift from accumulation to distribution. The failure to reclaim the $2.17 line suggests continued weakness, with the $2.08-$2.11 range serving as a potential consolidation base. While an oversold recovery is possible, traders should remain cautious, as rallies may encounter heavy resistance until overall market sentiment improves.
Traders are advised to monitor the $2.08 support level closely, as a failure to hold above this point could trigger further losses toward the $2.00 mark. A sustained recovery above $2.22 would be necessary to re-establish a bullish outlook, while maintaining current levels is crucial to avoid another wave of liquidation. The $2.17–$2.22 zone represents a key inflection range that could determine short-term direction for XRP.
Related: XRP Price: $12M Max Pain for Bears
Source: Original article
Quick Summary
XRP experienced a sharp decline, breaking below key support levels amid increased trading volume. Technical analysis indicates a bearish trend, with resistance at $2.37 and potential support around $2.08-$2.11. Traders should monitor the $2.17–$2.22 range as a critical inflection point for short-term directional movements.
Source
Information sourced from official Ripple publications, institutional research, regulatory documentation and reputable crypto news outlets.
Author
Ripple Van Winkle is a cryptocurrency analyst and founder of XRP Right Now. He has been active in the crypto space for over 8 years and has generated more than 25 million views across YouTube covering XRP daily.
Editorial Note
Opinions are the author's alone and for informational purposes only. This publication does not provide investment advice.
