XRP Price Teeters on the Brink Amidst Bearish 3-Wave Correction
XRP's recent price trajectory has taken a distinctly bearish turn, falling below $2 after failing to sustain recovery efforts. This shift has placed short-term momentum firmly with sellers, as the cryptocurrency struggles to hold dynamic support levels across higher timeframes. A technical analysis by CoinsKid suggests a more profound corrective structure is at play, potentially paving the way for further significant declines if key price levels are not reclaimed.
The Looming 3-Wave Correction and Key Indicators
Detailed technical analysis of XRP's price action since mid-2025 reveals a developing three-wave corrective sequence. What initially appeared to be a corrective advance towards crucial moving averages on the 5-day chart ultimately faltered, encountering strong resistance at a marked sell signal. This inability to maintain upward momentum, coupled with repeated closes below the "CoinsKid ribbon"—a custom indicator previously signaling bullish control for much of 2025—underscores the deepening bearish sentiment. The loss of this ribbon following a flash crash in October 2025 indicates sustained seller dominance in the broader market structure. Currently trading around $1.96, a 4.7% drop in the last 24 hours reflects the immediate pressure on XRP. CoinsKid's projections indicate that if this corrective movement persists, XRP's price could descend further from its current resistance, targeting a critical multi-year support area in the coming months. This potential downward movement would mark the final phase of an ABC wave correction initiated after XRP reached its all-time high of $3.65 in July 2025.
Multi-Year Support: The Next Critical Downside Magnet
The outlined bearish scenario highlights a multi-year support trendline as XRP's next significant area of interest. This ascending trendline, evident on the 5-day chart and tracing back to 2020, converges within the $1.30 to $1.40 range. Historically, this zone has acted as a robust demand area, where XRP has found strong buying interest after pullbacks. The ability for XRP to hold this crucial support will be paramount. A sustained move back above the 5-day ribbon would be necessary to invalidate the current bearish outlook and mitigate the likelihood of further price revisions to lower support regions.
