Will XRP Hold $2 or Drop to $1?

This kind of drop can be a reason for concern for investors, as it raises questions about whether XRP can hold its ground or could fall even further.

R is currently facing a major setback as it struggles to maintain the $2 support level. Earlier this week, the price of XRP dropped from $3.40 to around $2, showcasing a sharp 37% decline.

This kind of drop can be a reason for concern for investors, as it raises questions about whether the token can hold its ground or could fall even further.

One of the biggest wins for XRP was the resolution of its long-running SEC lawsuit, which cleared regulatory uncertainty and allowed Ripple to expand its partnerships across the U.S. financial sector. Despite such factors, uncertainty still exists for the altcoin’s short-term outlook. While the ETF filings have given a positive answer, they are yet to receive regulatory approval, leaving investors confused.

Meanwhile, market sentiment remains cautious, as traders watch the $2 level closely to determine whether the token can rebound or if bearish pressure will push it even lower. Several firms have filed for a spot XRP ETF, with estimations placing the odds of approval at 85%. This approval could be a turning point for XRP, which will increase institutional inflows and create pressure on the token’s price.

However, factors like U.S. tariffs and inflation concerns continue to complicate the impact of any positive developments for XRP. But as these projects are growing and gaining traction, they could help XRP have a strong place in the market.

Will XRP Manage to Hold $2 or Drop to $1?

Currently, XRP is holding above its moving average, which is a good sign for the cryptocurrency. However, analysts are keeping their hands on the $2 support level. If XRP fails to hold this support level, it could lead to a major downfall. Peter Brandt had recently pointed out the development of a head-and-shoulders pattern.

On the flip side, there’s a scenario with a positive approach for XRP if it can manage to break above the $3 mark. This potential surge would restore confidence in the cryptocurrency, suggesting that the worst may be over for XRP.

With major developments like the possible approval of an XRP ETF and market conditions continuing to evolve, traders are closely monitoring the situation.

Final Thoughts

The price of XRP is influenced by some important factors, including whether the spot XRP ETF will get approved and what can happen in the broader crypto market. If XRP stays above the expected support at $2, it can continue on its current path.

But if it falls more than the expected measure, things and situations can get worse for the token. On the flip side, if XRP can break above the resistance at $3, it could signal a fresh rally, boosting investor confidence and showing that XRP may be ready to rise again.

As the market keeps an eye on the ETF decision and other broader trends, XRP finds itself at a pivotal point. The next few weeks are going to be crucial—whether XRP can hold onto the $2 support or push above $3 could decide if it’s ready for a comeback or if more challenges are ahead.