XRP Price Analysis: Struggles Below $2.32 Amid Bearish Pressure

XRP Price- XRP Faces Resistance After a Modest Recovery Attempt

XRP Price– The XRP price has experienced renewed selling pressure after failing to sustain gains above the $2.32 zone. While there has been a minor recovery attempt, the asset remains vulnerable to another potential drop if key resistance levels are not breached convincingly.

Recent Market Activity and Short-Term Trend

In the past few sessions, XRP witnessed a downward movement below the crucial $2.300 zone. This decline extended as bears maintained dominance, eventually pushing the price toward the $2.220 support level. Unlike Bitcoin and Ethereum, XRP showed some signs of a recovery wave, although momentum remains fragile.

While the overall market sentiment remained cautious, XRP demonstrated a relatively better performance compared to other major cryptocurrencies like Bitcoin and Ethereum during this period. Unlike its peers, which remained under sustained pressure, XRP hinted at the possibility of a minor recovery wave. However, the bullish effort was far from strong or convincing, and the rebound momentum remained relatively fragile and lacked broad confirmation from key technical indicators.

A significant technical event took place during this recovery attempt. The XRP/USD pair managed to break above a descending trend line that had been acting as a short-term barrier. This trend line, positioned near the $2.2920 level on the hourly chart (according to data sourced from Kraken), had previously limited upward movements. The breakout above this level marked a potential shift in short-term structure, giving traders a glimpse of possible bullish intent.

Following this breakout, the price was able to climb above two notable short-term resistance zones, first crossing the $2.2650 level and then moving above the $2.280 threshold. These levels had been serving as interim resistance, and breaking through them provided additional evidence of buying interest, albeit limited.

Moreover, XRP succeeded in reclaiming the 50% Fibonacci retracement level of the prior downward movement — specifically, the decline from the $2.3540 swing high to the $2.2279 low. Surpassing this key Fibonacci level is often considered a technical signal that suggests a recovery attempt is in motion. However, in this case, the lack of follow-through buying and continued resistance near higher levels kept the asset constrained within a narrow trading range.

Overall, although XRP managed to stage a modest recovery from the $2.220 zone and break through several technical barriers, the broader outlook remains cautious. The price is still struggling to build sustained momentum above critical resistance levels, and without a clear push beyond the $2.32 and $2.35 zones, bullish scenarios may remain limited in the near term.

Resistance Levels to Watch

Despite the brief recovery, bulls are facing stiff resistance around the $2.30 and $2.3250 levels. The $2.3250 zone, in particular, aligns with the 76.4% Fibonacci retracement level of the same downward wave mentioned above. Moreover, the XRP price is currently trading below both the $2.320 mark and the 100-hourly Simple Moving Average (SMA), suggesting the recovery may lack strong bullish conviction.

If buyers manage to clear the $2.3250 resistance, the next hurdle would likely be around the $2.3350 mark. A decisive move above that level could open the doors for a stronger upward push toward the $2.350 resistance zone. Should momentum persist beyond this point, XRP could aim for $2.400 and potentially even $2.420 or $2.450 in the short term. The next major psychological barrier remains at $2.50.

Bearish Scenario: Another Decline Possible

If XRP fails to gain traction above the $2.320 resistance, another leg down could be on the horizon. Initial support is seen near the $2.280 zone, followed by a more significant support level at $2.260. A break and hourly close below $2.260 could pave the way for a deeper correction, possibly targeting the $2.2320 level.

Should selling pressure persist, the next notable support lies near the $2.200 mark. A decline below this zone could signal increased bearish momentum, potentially extending the correction further.

Technical Indicators and Market Sentiment

At present, the XRP/USD pair’s movement remains constrained by the 100-hourly SMA, reinforcing the bearish bias. Momentum indicators such as the Relative Strength Index (RSI) are hovering in the neutral zone but could tilt lower if resistance continues to hold. This scenario would increase the likelihood of another downside test in the near term.

Market sentiment remains mixed, with XRP showing relative underperformance compared to other major cryptocurrencies. This divergence adds an extra layer of caution for traders and investors eyeing short-term opportunities.

Key Support and Resistance Levels

Immediate Resistance Levels

• $2.300
• $2.3250
• $2.3350
• $2.350

Potential Support Zones

• $2.280
• $2.260
• $2.2320
• $2.200

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.