XRP is currently at risk of a 19% drop to $1.71 due to the formation of a bearish inverted cup and handle pattern. This development comes as the token trades at $2.18, just above the crucial support level of $2.13. If it falls below this threshold, analysts warn the price could decline significantly. The pattern depicted on XRP’s daily chart shows a rounding top and an ascending parallel channel. With the recent price action slipping beneath the lower ascending trendline, the likelihood of a rally has diminished.
The target for XRP's price in this bearish scenario corresponds to the depth of the cup. A drop to $1.71 not only indicates a significant market move but also lines up with a support level that has remained intact since November 2024. Current indicators show that the relative strength index (RSI) has been declining, pointing to a weakening bullish sentiment, while the MACD has crossed below the zero line, further confirming bearish trends.
Despite this bearish outlook, a note of interest is the rise in XRP's social sentiment, which recently surpassed 3% for the first time in over two weeks. Factors influencing this increase include developments in the Ripple lawsuit against the SEC, sparking retail interest amid growing speculation about a potential spot XRP ETF approval, evidenced by an all-time high of 92% odds reported on Polymarket. This indicates a divergence between market sentiment and price action, suggesting that while bearish factors dominate the technical analysis, there remains an underlying bullish sentiment among investors.
In summary, XRP is currently facing a pivotal moment. With technical indicators suggesting a possible drop to $1.71, traders should monitor the critical support level at $2.13 closely. The social sentiment could play a key role in how XRP maintains its price in the coming days.
The target for XRP's price in this bearish scenario corresponds to the depth of the cup. A drop to $1.71 not only indicates a significant market move but also lines up with a support level that has remained intact since November 2024. Current indicators show that the relative strength index (RSI) has been declining, pointing to a weakening bullish sentiment, while the MACD has crossed below the zero line, further confirming bearish trends.
Despite this bearish outlook, a note of interest is the rise in XRP's social sentiment, which recently surpassed 3% for the first time in over two weeks. Factors influencing this increase include developments in the Ripple lawsuit against the SEC, sparking retail interest amid growing speculation about a potential spot XRP ETF approval, evidenced by an all-time high of 92% odds reported on Polymarket. This indicates a divergence between market sentiment and price action, suggesting that while bearish factors dominate the technical analysis, there remains an underlying bullish sentiment among investors.
In summary, XRP is currently facing a pivotal moment. With technical indicators suggesting a possible drop to $1.71, traders should monitor the critical support level at $2.13 closely. The social sentiment could play a key role in how XRP maintains its price in the coming days.
