The cryptocurrency XRP continues to grapple with significant downward pressure, extending losses and trading below critical price points. Analysts indicate a persistent bearish trend, suggesting that a further decline could be imminent if key resistance levels are not overcome.
XRP Plunges as Bearish Momentum Intensifies
XRP's price recently failed to maintain its position above the $2.00 mark, triggering a fresh wave of decline reminiscent of recent movements in Bitcoin and Ethereum. The digital asset dipped below $1.950 and $1.9350, firmly establishing itself within a short-term bearish zone. A notable spike saw the price fall below $1.920, hitting a low of $1.90 before entering a phase of consolidation. Despite a modest recovery wave above $1.9120 and clearing the 23.6% Fibonacci retracement level, bearish sentiment continues to dominate the market, keeping XRP trading below the $1.950 threshold and its 100-hourly Simple Moving Average.
Crucial Resistance and Potential Downside Risks
Looking ahead, immediate resistance for XRP is anticipated near the $1.9450 level, coinciding with the 50% Fibonacci retracement of its recent downward move. Furthermore, two prominent bearish trend lines on the hourly chart present formidable resistance at $1.95 and $2.00. A definitive breakthrough and close above $2.00 would be required to shift the momentum, potentially paving the way for gains towards $2.050, then $2.10, and possibly even $2.150, with a major hurdle remaining at $2.20. However, the outlook remains precarious. Should XRP fail to surmount the $1.95 resistance, a renewed downturn is highly probable. Initial support levels on the downside are identified near $1.90, followed by a more significant support at $1.870. A sustained break below this $1.870 level could accelerate losses, pushing the price towards $1.8480, and potentially even deeper to the $1.820 and $1.7880 zones. Technical indicators reinforce this bearish sentiment, with the Hourly MACD gaining pace in the bearish zone and the Hourly Relative Strength Index (RSI) positioned below the 50 level.
