- XRP struggles to stay above crucial support as market pressure builds.
- Traders brace for potential breakdown as XRP loses bullish momentum.
- Market data shows investor caution growing amid XRP’s fading recovery hopes.
XRP’s fragile recovery has ended abruptly, signaling renewed pressure on the token as the market weakens. The cryptocurrency is now fighting to stay above a key support level that could decide its next major move. According to market observers, XRP’s inability to hold recent gains highlights growing bearish sentiment among traders.
In recent trading sessions, XRP has repeatedly failed to maintain momentum above the $2.90 to $3.00 resistance range. Each rally attempt met strong resistance, forming a descending triangle pattern that points to a potential downturn.
The token now hovers just above the 100-day exponential moving average near $2.85, which remains the last major defense before a possible breakdown. A clear loss of this level could see XRP sliding toward the 200-day EMA around $2.63, signaling deeper weakness ahead.
Also Read: UK Central Bank to Grant Exemptions on Proposed Stablecoin Holding Caps
Source: Tradingview
Market Data Signals Growing Investor Caution
Beyond technical charts, XRP’s fundamentals reflect the growing strain in the market. Data from CoinMarketCap shows the token’s market capitalization fell from $177.8 billion to roughly $170.9 billion in just one day. This sharp drop erased most of the recovery gains recorded in late September, wiping billions in value from XRP’s total capitalization.
Additionally, trading volume remains subdued, sitting near $6.04 billion within 24 hours. The muted activity suggests investors are turning cautious, avoiding speculative positions amid uncertain price movements. Meanwhile, the relative strength index has settled in neutral territory, indicating a lack of strong buying momentum to support a rebound.
As the market sentiment continues to sour, analysts warn that losing the 100-day EMA could trigger another sharp correction. The asset’s structural weakness and reduced trading enthusiasm add to concerns about a prolonged downtrend.
XRP now stands at a crucial crossroads, with traders watching whether it can regain momentum or face another steep fall. The next few sessions will be decisive in determining whether the token stabilizes or extends its decline in a weakening market environment.
Also Read: XRP Drops to 5th Position in Ranking – Here’s Why the Price is Down Today
