XRP Faces Renewed Bearish Pressure as Key Support Levels Approach
XRP has recently seen an extension of its losses, dipping below the critical $2.10 mark. The cryptocurrency is currently consolidating, but analysts warn of a potential further decline if it fails to maintain its position above a crucial support zone.
XRP's Recent Descent
The XRP price initiated a fresh downtrend after failing to sustain above the $2.150 level, mirroring the broader market sentiment seen in Bitcoin and Ethereum. This decline pushed XRP below $2.120 and $2.10, leading it into a short-term bearish zone. A low was established around $2.052, with subsequent attempts to recover above $2.080 and the 23.6% Fibonacci retracement level meeting strong resistance. Notably, a significant bearish trend line with resistance at $2.0850 is now forming on the hourly chart of the XRP/USD pair, underscoring the prevailing selling pressure.
Navigating Critical Support and Resistance
Currently, XRP is trading below both $2.10 and its 100-hourly Simple Moving Average, indicating continued bearish momentum. Should an upward movement materialize, the immediate hurdles for XRP would be near the $2.0850 resistance level and the aforementioned bearish trend line. The first major resistance is pegged at $2.120, which is also close to the 50% Fib retracement level of the recent downward move from the $2.193 swing high to the $2.052 low. A sustained break above $2.120 could pave the way for a rally towards $2.20 and potentially $2.250. Conversely, if XRP fails to clear the $2.120 resistance, it faces the risk of further depreciation. Immediate downside support is anticipated around $2.050, followed by a more significant support at the $2.020 level. A decisive close below $2.020 could trigger extended declines, potentially pushing the price towards $1.950, and in a more severe bearish scenario, down to the $1.880 zone. Technical indicators reinforce this outlook, with the hourly MACD gaining pace in the bearish zone and the Relative Strength Index (RSI) dipping below the 50 level. Technical Indicators
- Hourly MACD: Bearish zone, gaining momentum.
- Hourly RSI: Below the 50 level.
- Major Support Levels: $2.050, $2.020.
- Major Resistance Levels: $2.0850, $2.120.
