- XRP confirms death cross, signaling potential for further downside pressure.
- Major resistance cluster at $2.55-$2.60 halts XRP’s upward movement.
- Key support levels at $2.20 and $2.00 crucial for XRP.
XRP has officially entered a bearish phase after its 50-day moving average (MA) crossed below the 200-day MA, signaling a death cross. This technical pattern is significant, as it marks the moment when short-term selling pressure overtakes long-term accumulation.
Historically, death crosses have been indicators of a trend reversal, often pointing to further downside momentum. Although the immediate impact may not always trigger a steep decline, such formations typically set the tone for market sentiment in the weeks that follow.
As XRP struggles beneath a major resistance cluster, it’s clear that sellers are firmly in control. The 50-day, 100-day, and 200-day moving averages have now merged around the $2.55-$2.60 range, creating a heavy ceiling that XRP has struggled to break through.
Despite a few attempts, the market has failed to sustain any rallies above this level. The inability to push higher reinforces the idea that XRP is facing more selling pressure than buying interest at this point. This pattern suggests that XRP could continue to face downward pressure, as brief rallies are likely to be sold into.
Source: Tradingview
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Key Downside Targets and Support Zones for XRP
After the formation of the death cross, several critical support levels have emerged, providing insight into potential price action. The first notable support zone is around $2.20, where XRP has previously found some buying interest in recent weeks. A consolidation around this level would suggest that market participants are waiting for further confirmation before committing to a more decisive move.
However, should the selling momentum continue, XRP could face a deeper retracement. A break below the $2.20 mark would likely lead to a retest of the $2.00 level, which has acted as psychological and structural support in the past. This level is a crucial one to watch, as a retest could trigger a liquidity sweep, potentially flushing out weak hands and offering a better entry point for longer-term investors.
The most extreme downside target is set at $1.80. A drop to this level would signal a complete trend reversal, with the market likely losing its footing under the $2.00 support zone. Such a move would likely trigger further panic selling, potentially marking the low for the current cycle.
For XRP to reverse its bearish trend, it would need a significant catalyst, such as ETF approvals or regulatory clarity. Without such developments, the market is likely to remain under the influence of selling pressure.
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