What to Know:
- XRP is testing critical support levels against both USDT and BTC, indicating potential further downside.
- The 100-day and 200-day moving averages are acting as resistance, reinforcing the bearish outlook.
- Failure to hold current support could trigger significant price drops, with next major support levels considerably lower.
XRP is currently facing headwinds as buyers struggle to maintain key support levels, signaling potential challenges for investors. Technical analysis reveals a bearish structure against both USDT and BTC pairs, with sellers gaining control. The cryptocurrency needs to demonstrate fresh demand to reverse the current trend.
On the USDT pair, XRP risks breaking below the descending channel support, testing the $2.20 demand zone. Repeated rejections by the 100-day and 200-day moving averages, coupled with lower highs and lows, emphasize the downward pressure. A break below this zone could see XRP testing the $1.20 range.
Against Bitcoin, XRP is hovering around 2,100 sats, exhibiting a rounded top formation. Failure to reclaim the 2,400–2,500 sats resistance and losing key moving averages put the pair at risk of a breakdown. Breaching the 2,000 sats support could trigger a rapid decline towards the 1,200 sats demand area.
The current technical outlook for XRP suggests caution, with potential for further downside if key support levels fail to hold. Investors should monitor price action relative to the 100-day and 200-day moving averages, as reclaiming these levels could signal a trend reversal. Traders should also keep an eye on broader market trends, including developments around Bitcoin ETFs and regulatory clarity, which could influence XRP’s trajectory.
Source: Original article
