XRP Price Faces Pressure, But $2.00 Could Be A Turning Point

XRP started a major decline below the $2.50 support and the 50-day simple moving average (blue). The price must stay above $2.00 to recover losses.

XRP Price Dips Further

In the last technical analysis, we discussed how XRP failed to clear the $2.750 resistance zone and the 50-day simple moving average (blue). The bears prevented a move above the 61.8% Fib retracement level of the downward wave from the $3.40 swing high to the $1.780 low. Finally, there was a bearish reaction like Bitcoin and Ethereum.

The price declined sharply below the $2.60 and $2.50 levels. The bears pushed the price below the 50% Fib retracement level of the upward move from the $1.78 swing low to the $2.834 high.

XRP price gained bearish momentum and declined below the $2.20 support. However, the bulls were active above the $2.00 support. They protected the 61.8% Fib retracement level of the upward move from the $1.78 swing low to the $2.834 high.

The price is now recovering some losses and is back above the $2.30 level. If the bulls remain active and attempt another increase, they could face resistance near the $2.420 level.

The first major resistance is now forming near the $2.50 level. The main hurdle is now forming near the $2.60 level and a bearish trend line on the daily chart. A close above the $2.60 level might decrease the bearish pressure and send the price toward the $2.720 resistance or the 50-day simple moving average (blue).

The next key resistance is now forming near the $2.84 zone. A clear move above the $2.84 resistance could set the pace for a larger increase. In the stated case, the price could rally and test the $3.00 resistance. The next major resistance is near the $3.20 level.

Another Decline?

Conversely, XRP price might struggle to recover above the $2.50 resistance and start another decline. Immediate support is near the $2.1820 level, below which the price might gain bearish momentum.

The first major support sits near the $2.050 level. The next major support is near the $2.00 level. A daily close below the $2.00 level could spark another major decline. In the stated case, the bears might aim for a move toward the $1.780 support. The next target for the bears could be $1.650. Any more losses might send the price toward the $1.5350 support.

Overall, XRP price is attempting to recover above the $2.25 level. To start a fresh increase, it must settle above $2.50 and then $2.60. If not, the bears could aim for a drop toward the $2.050 level.

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