The latest market trends for XRP are not showing much optimism as the digital currency braces for a bearish onslaught. XRP has been on a downward trajectory since the start of the corrective phase on May 12, recording successive lower peaks on a daily basis, further distancing itself from its May high of $2.65. This declining trend is a continuation of a rally that started in the previous month when the XRP price bounced back from $1.80 in early April. However, the positive momentum that ignited the surge has been replaced with a noticeable series of red candles, hinting at XRP’s potential plunge below the $2 mark in the approaching days, reverting to its April low.
A recent technical review from analyst MasterAnanda on TradingView underscores the prevailing bearish sentiment. The chart accompanying the analysis reveals XRP’s fall from a rising channel, marked by three successive daily closures below the bottom trendline. The consecutive red days have refuted the formation of an upward rebound on the lower trendline. Despite XRP currently trading above $2, the longer it remains beneath the $2.30 zone, the more probable a drastic fall becomes.
MasterAnanda’s TradingView analysis concedes that while XRP seems ripe for a bounce back, the underlying indicators tell a contrasting narrative. “XRPUSDT appears set for recovery at any moment, but the correction may not be over,” the analyst observed. Interestingly, despite the ongoing fall, the bearish volume has remained relatively low. This indicates that the sell-off might not be too forceful, but also unopposed. This low-volume pullback implies the market is sliding due to a scarcity of buyers rather than extreme selling pressure. However, the analyst points out that XRP is yet to find a robust support level.
While the short-term outlook might seem disheartening, MasterAnanda remains confident about XRP’s bullish long-term trajectory. Nevertheless, the Fibonacci retracement levels on the chart indicate that the price has already breached the 0.382 zone and is currently hovering near the 0.236 line at $2.035. Below that, the critical area to monitor is the low near $1.75, which aligns with the analyst’s forecasted support zone.
If XRP fails to maintain above $2.00, it could potentially slide towards that higher low. A red arrow on the daily candlestick timeframe chart indicates the path of this decline. Hence, XRP traders should be prepared for a significant downside unless a robust reversal occurs before the crypto dips below $2. As it stands, the bearish sentiment surrounding XRP is progressively strengthening. If this correction remains uncontrolled, a retest of the $1.70 to $1.80 range might arrive sooner than anticipated. As of this writing, XRP is trading at $2.13, falling by 3.85% in the past 24 hours and 8.9% in the past week.
