XRP Price Decline: Testing Major Support Levels Below $2.00, Can the Recovery Begin?
XRP price has been experiencing a significant decline, falling below key support levels and dropping over 25% in value. The digital asset has faced a major setback, with prices spiking under the crucial $2.00 zone, triggering concerns among investors. Let’s dive into the latest developments in the XRP/USD pair, the key support and resistance zones to watch, and the potential for a market recovery.
XRP Price Decline: A Sharp Drop Below $2.00
The bearish momentum in the XRP market began when the price dropped below the $3.00 threshold, a crucial psychological level. XRP had already experienced a decline below $2.80 and $2.50 levels, and this massive selling pressure led to a sharp drop below the $2.00 mark.
At one point, the price plunged as low as $1.75, marking a substantial loss for investors. This 25%+ drop saw the cryptocurrency testing new lows, raising fears of further downside movement.
XRP Price Correction and Recovery Potential
Despite the significant decline, XRP is currently showing signs of price correction. After hitting the low of $1.75, the price has moved above the $2.00 level and is currently testing key resistance zones.
The price has recently surpassed the 23.6% Fibonacci retracement level of the downward move from the $3.155 swing high to the $1.750 low. This indicates that XRP might be on track to recover some of its losses, provided it can overcome the $2.40 to $2.50 resistance zones.
Key Resistance Levels to Watch for XRP Price Recovery
XRP is trading below the 100-hourly Simple Moving Average, and it’s facing significant resistance levels in the short term. The first key resistance level is at $2.40, with the next major hurdle lying at $2.50.
A connecting bearish trend line is also forming with resistance at $2.45 on the XRP/USD hourly chart. This trend line could play a critical role in determining whether the price will experience a further rebound or continue to face downward pressure.
If XRP manages to clear $2.45, it could potentially push toward the $2.50 resistance, with the possibility of reaching $2.650 or even $2.720 in the near term.
Potential for Another Decline if Resistance Holds
If XRP fails to break through the $2.40 resistance, it may face additional downside risks. Initial support is seen near $2.10, and if this level is breached, the price could potentially retest the $2.00 support. A break below $2.00 could lead to further declines, with $1.850 and $1.750 being the next major support levels to watch.
Technical Indicators for XRP/USD
- Hourly MACD – The MACD for XRP/USD is currently gaining momentum in the bearish zone, signaling that the selling pressure is still in play.
- Hourly RSI – The Relative Strength Index (RSI) for XRP/USD is below the 50 level, indicating that the market sentiment is bearish at the moment.
Support and Resistance Levels
- Major Support Levels – $2.10 and $2.00 are critical support zones for XRP, where the price could stabilize if it faces further declines.
- Major Resistance Levels – Key resistance levels lie at $2.40 and $2.50. A break above these levels could signal a potential recovery.
XRP Market Outlook
XRP is in a crucial phase as it tests major support and resistance levels. Investors are keenly watching for a potential breakout or another round of declines. With the market facing significant volatility and uncertainty, it remains to be seen whether XRP can reclaim higher ground or if further selling pressure will push it toward deeper lows.
