XRP Price Turns Red as Bulls Step Back and Bears Test Market Strength

Overview

XRP price has entered a fresh decline, moving down from a recent high. The current market conditions indicate bearish signs, with potential further losses if certain support levels are breached.

Price Movement and Analysis

XRP price has started to decline from a level of $2.550, showing bearish signs as it trades below $2.40 and the 100-hourly Simple Moving Average. The price has dropped below the $2.450 zone and has formed a low at $2.2754. Currently, XRP is consolidating losses with a bearish angle, trading below the 23.6% Fibonacci retracement level based on its recent decline.

There is a short-term contracting triangle forming, with resistance at $2.235 on the hourly chart of the XRP/USD pair. If XRP settles below the critical support level of $2.250, it is likely to continue its downward movement. Should the price see a fresh upward move, it might encounter resistance near the $2.2350 level. The first major resistance is identified around $2.40, and if surpassed, the price could test higher levels, including $2.450.

Conversely, if XRP fails to overcome the $2.40 resistance zone, it could initiate another decline. Initial support is near the $2.280 level, with the next major support at $2.250. Should there be a break below $2.250, the price may continue to decline toward $2.20 and potentially lower toward $2.120 and $2.050.

Technical Indicators

• The MACD for XRP/USD is gaining pace in the bearish zone.
• The RSI for XRP/USD is currently below the 50 level.

Impact on the crypto market

• XRP’s decline reflects broader market trends affecting cryptocurrencies.
• The formation of a contracting triangle indicates potential volatility ahead.
• Key support and resistance levels may influence trading strategies for investors.
• The bearish momentum could lead to increased caution among traders in the crypto space.
• The movement of XRP may correlate with trends seen in Bitcoin and Ethereum, impacting market sentiment.