Summary:
- XRP retested a broken support trendline while remaining below the daily 50-day EMA, reinforcing bearish technical pressure.
- ChartNerd identified resistance near $1.1658 where the declining 50-day EMA converges with horizontal resistance, limiting bullish momentum recovery attempts.
- Reclaiming the broken trendline and daily 50-day EMA would invalidate the bearish setup while preserving buyer confidence over short-term direction.
XRP is testing a critical technical level as its latest recovery attempt struggles beneath a previously reliable support trendline. According to crypto analyst ChartNerd, the token is retesting that broken level while trading below the daily 50-day Exponential Moving Average, leaving the market vulnerable to another decline if buyers fail to regain control.
In a chart shared on X, ChartNerd explained that the ascending trendline had supported XRP’s recovery since the asset rebounded from the $1.00 region in June. However, price has now returned to that level from below, creating what technical analysts describe as a bearish retest. The analyst noted that reclaiming the broken trendline and the daily 50 EMA would invalidate the current bearish outlook.
ChartNerd added that failure to recover those technical levels could send XRP back toward its recent local low around $1.08. That area represents the nearest support where buyers previously entered the market.
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Daily resistance levels strengthen the bearish outlook
The latest chart also highlights several resistance zones that have repeatedly prevented XRP from building stronger upward momentum. Most notably, the daily 50 EMA has rejected price on three separate occasions, signaling that sellers remain active whenever XRP approaches that moving average.
Moreover, horizontal resistance around $1.1658 aligns closely with the declining 50 EMA, creating a stronger resistance zone where multiple technical indicators converge. Additionally, another resistance level appears near $1.2464, although XRP would need sustained buying pressure to reclaim the first resistance before challenging that higher level.
Besides those resistance barriers, the loss of the ascending trendline has changed XRP’s short-term market structure. The trendline had consistently produced higher lows since June, reflecting steady demand during market pullbacks. Its breakdown suggests buyers have lost momentum while sellers have gained greater control.
Trendline retest keeps attention on $1.08 support
Instead of extending its decline immediately, XRP has rebounded toward the underside of the broken trendline. This movement represents a classic bearish retest, where former support becomes resistance before another potential move lower.
According to ChartNerd, another rejection at this level would confirm the bearish retest and strengthen expectations for a decline toward the local low near $1.08. On the other hand, a decisive move above both the trendline and the daily 50 EMA would invalidate the bearish structure and improve the short-term technical picture.
Market participants are closely watching this area because a successful recovery would shift momentum back toward buyers. Failure to reclaim those levels, however, would reinforce the recent breakdown and preserve the current bearish trend.
Conclusion
XRP remains at an important technical crossroads as traders monitor the outcome of its trendline retest. Holding below the former support trendline and the daily 50 EMA would keep selling pressure intact and maintain focus on the $1.08 support region. A sustained recovery above both resistance levels would weaken the bearish structure and improve the asset’s short-term outlook.
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