XRP’s price failed to break above $2.20 and has begun to decline again. It is now correcting lower and may struggle to hold above the $2.080 support level. Currently, the price is trading below $2.120 and the 100-hour Simple Moving Average.
On the hourly chart for XRP/USD, a bullish trend line is forming with support around $2.080. If the price can move above $2.150, it could attempt another upward move.
After being unable to clear $2.20, XRP corrected lower, underperforming compared to Bitcoin and Ethereum. It dropped below $2.120 and $2.10, even falling past the 61.8% Fibonacci retracement level of the recent rise from $2.032 to $2.193. Buyers are currently defending the $2.080 area, which aligns with the trend line support.
If the price attempts to recover, it may face resistance near $2.120. The first major resistance is around $2.150. A break above that could test $2.20, and further gains might target $2.250, $2.320, and eventually $2.350.
On the downside, if XRP fails to overcome the $2.120 resistance, it could resume its decline. Initial support sits at $2.080, followed by $2.070, which coincides with the 76.4% Fibonacci retracement level. A break and close below $2.070 could lead to further losses toward $2.050. The next major support is near $2.020, and a drop below that might push the price toward $2.00.
Technical Indicators:
– Hourly MACD: Gaining momentum in bearish territory.
– Hourly RSI: Below 50.
– Major Support Levels: $2.080 and $2.050.
– Major Resistance Levels: $2.120 and $2.150.
Frequently Asked Questions
FAQs XRP Loses Momentum as Traders Reevaluate Bullish Outlook
BeginnerLevel Questions
Q1 What does it mean when people say XRP is losing momentum
A It means the recent upward price movement and buying pressure for XRP are slowing down or reversing Traders are becoming less enthusiastic about buying causing the price to stabilize or drop
Q2 Why would traders suddenly become less bullish on XRP
A Common reasons include negative news a broader market downturn profittaking after a price surge or a shift in sentiment where expectations for nearterm gains diminish
Q3 Is losing momentum the same as the price crashing
A Not necessarily Losing momentum often means the rate of increase is slowing which can lead to a period of sideways trading or a mild decline A crash is a sudden severe drop in price
Q4 Should I sell my XRP if I hear its losing momentum
A Not automatically This is a common market phase Your decision should be based on your investment goals risk tolerance and research not just shortterm sentiment Panic selling often leads to losses
Q5 Where can I check XRPs momentum for myself
A You can look at price charts on sites like CoinMarketCap or TradingView Indicators like the Relative Strength Index or Moving Averages can help visualize momentum trends
Advanced Practical Questions
Q6 What specific factors are causing the current reevaluation of XRPs outlook
A While factors change common catalysts include developments in Ripples ongoing legal case with the SEC changes in Bitcoins dominance affecting the altcoin market macroeconomic news or a failure to break through key technical resistance levels
Q7 What are key resistance levels and why do they matter for momentum
A A resistance level is a price point that XRP has struggled to rise above in the past If it approaches this level but fails to break through it signals that selling pressure is strong causing momentum to fade and traders to reevaluate
Q8 How do traders use derivatives to gauge sentiment shifts
A They look at metrics like funding rates and open interest A sharp