XRP Price Plummets: Crucial Support Level Threatened Once More

XRP Faces Critical Support Levels as Bearish Momentum Looms

XRP's price action has taken a bearish turn as the cryptocurrency struggles to maintain critical support levels. After being decisively rejected at the $2.20 resistance zone, the asset has entered a descending phase, missing out on earlier momentum that suggested a stronger breakout.

Technical Indicators Signal Weakness

When XRP touched the upper edge of a descending triangle—a pattern typically indicating bearish continuation unless refuted by a high-volume breakout—the rejection occurred. Currently, XRP hovers just above the 100 EMA, displaying signs of a gradual and fragile reversal.

However, the bounce lacks conviction, with trading volume remaining low and momentum indicators like the RSI hovering around 45. Since the Relative Strength Index does not show oversold conditions, there's no strong bullish divergence to support an aggressive recovery. If upward momentum fails to materialize, XRP could drift toward the 200 EMA near $2.

Key Support Levels Under Threat

The $2 level represents more than just a technical target—it was the last significant support that held XRP during the previous correction. A breakdown here could trigger a deeper retracement phase. While XRP initially broke out from a falling wedge in early 2025, reinforcing its long-term bullish structure, recent price action reflects growing uncertainty.

Short-Term Outlook

XRP's inability to establish a higher high above $2.20 has weakened bullish confidence. Unless market sentiment shifts or the asset reclaims $2.20 with strong volume confirmation, the $2 support remains vulnerable. Traders should closely monitor price interaction with the 200 EMA—a breakdown could accelerate downward pressure.