XRP Faces Crucial Test: Can It Hold Above Key Support Levels Amid Bearish Pressure?

Ripple's XRP cryptocurrency is currently under significant bearish pressure, experiencing a fresh decline that has pushed its price below the critical $2.10 mark. As investors watch closely, the digital asset struggles against key resistance levels, raising questions about its immediate future in a volatile market.

XRP's Recent Downturn and Support Zones

XRP initiated a sharp decline, falling below the $2.10 and $2.040 zones, and now trades consistently below the $2.020 mark and its 100-hourly Simple Moving Average. This downward trajectory follows a failed recovery attempt above $2.120, mirroring similar struggles seen in Bitcoin and Ethereum. The cryptocurrency registered a recent low at $1.993 and is currently consolidating losses beneath the 23.6% Fibonacci retracement level of its recent high-to-low swing ($2.177 to $1.993). A notable bearish trend line with resistance at $2.050 further underscores the prevailing negative sentiment on the hourly charts.

Key Resistance and Potential Upside

For XRP to reverse its fortunes, it must decisively break past the immediate resistance at $2.0350, with the primary hurdle being the $2.050 level, coinciding with the bearish trend line. A successful breach and sustained close above $2.050 could pave the way for a move towards $2.085, which aligns with the 50% Fibonacci retracement level. Further gains would target the $2.10 resistance, with potential upward movements pushing the price towards $2.150 and eventually $2.1850. The ultimate bullish challenge remains near the $2.220 mark.

Downside Risks and Critical Levels

Should XRP fail to overcome the $2.050 resistance, it risks deeper declines. Immediate downside support is anticipated around the $2.00 level, followed by a more significant support at $1.9850. A sustained break below this $1.9850 threshold could trigger a continued fall towards $1.920, with subsequent major support points identified near $1.880 and potentially $1.820. Technical indicators reinforce this bearish outlook, with the Hourly MACD showing increasing bearish momentum and the Hourly Relative Strength Index (RSI) positioned below the 50 level, suggesting weakened buying pressure.