XRP’s price trajectory has entered a critical phase as the cryptocurrency faces mounting bearish pressure that threatens to push it below the psychological $2 support level. Recent bullish predictions of XRP reaching $22 may need revision as technical indicators point to continued downside in the short term.
Technical Analysis Shows Deteriorating XRP Support
Since initiating its correction phase on May 12, XRP has established a concerning pattern of lower highs on the daily timeframe, retreating significantly from its recent peak of $2.65. This decline follows what had been an impressive recovery from April’s $1.80 level, but momentum has clearly shifted bearish.
Prominent crypto analyst MasterAnanda’s latest technical assessment on TradingView has identified several red flags:
- Breakdown from rising channel formation
- Three consecutive daily closes below critical support
- Rejection at the $2.30 resistance zone
- Fibonacci retracement showing vulnerability at 0.236 ($2.035)
Volume Analysis Reveals Concerning Trends
While bearish volume remains relatively low, this actually presents another concerning signal. The lack of strong buying pressure during this decline suggests market participants are stepping back, creating a vacuum that could accelerate price drops. Despite expanding institutional access, immediate buying interest appears muted.
Critical Support Levels to Watch
Traders should monitor these key price levels:
- Current support: $2.13
- Critical fibonacci level: $2.035
- Major support zone: $1.70-$1.80
- Previous resistance turned support: $2.30
FAQ: XRP Price Action
Q: What’s causing XRP’s current price decline?
A: The decline is primarily technical, driven by breakdown from a rising channel and lack of buying pressure at higher levels.
Q: Could XRP still reach its bullish targets?
A: While long-term bullish outlook remains intact, short-term correction could test lower support levels first.
Q: What’s the key level to watch?
A: The $2.00 psychological support is crucial – a break below could accelerate selling to $1.70-$1.80 range.
Market Statistics
Current market metrics for XRP:
- 24-hour decline: -3.85%
- 7-day performance: -8.9%
- Current price: $2.13
- Distance from ATH: -19.6%
