The XRP market is experiencing significant bearish momentum, with price action indicating continued downward pressure.

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The XRP market is experiencing significant bearish momentum, which becomes more evident on shorter timeframes, indicating continued downward pressure on the token's price. Traders are closely watching the critical support at $2.20, which has been repeatedly tested across multiple timeframes.

Despite occasional spikes in trading volume, suggesting potential local bottoms or accumulation, the overall downward trajectory remains dominant. Below, we analyze XRP's price movement across different timeframes and highlight key trends to watch.

1-Hour Chart: Bearish Momentum with Key Resistance at $2.30-$2.32

On the 1-hour chart, XRP has consistently formed lower highs while testing the critical $2.20 support level. A notable increase in trading volume has emerged, hinting at possible accumulation as sellers encountered resistance.

However, the price faced immediate rejection at the Fib 0.382 and Fib 0.5 levels, currently acting as short-term resistance between $2.30 and $2.32, preventing any attempt at a bullish recovery.

A bullish reversal scenario would require a strong surge in buying pressure, ideally leading to a decisive green candle closing completely above $2.20 to confirm renewed market interest.

However, continued rejection at these levels may push the price lower, potentially breaking the Fib 0.618 support at $2.13 and setting the stage for further declines to Fib 0.782 around $1.98.

4-Hour Chart: Bearish Trends Reinforced as Lower Highs Persist

The 4-hour chart provides a broader view of the extended bearish trend, highlighted by a sequence of lower highs and lower lows. The support zone at $2.20 to $2.25 is currently being retested, with increasing selling volume evident on shorter timeframes.

This selling pressure contributes to the bearish outlook, highlighted by the Relative Strength Index (RSI) moving into oversold territory. On the other hand, the 4-hour MACD is approaching a potential bullish crossover, which could indicate a shift in momentum.

Resistance is still evident around $2.40 to $2.45, where previous recovery attempts have stalled.

While a short-term rally remains possible if sufficient buying pressure emerges near the support zone, failure to sustain above $2.35 to $2.40 could accelerate downward movement, setting a course for Fib 0.782.

Traders looking for long positions may await bullish confirmation at $2.20, highlighted by a decisive candlestick pattern and a move above the Fib 0.5 level. Conversely, shorting opportunities arise if XRP fails to reclaim higher Fib levels and faces rejection, indicated by bearish candlestick patterns.

Daily Chart: Extended Downtrend as XRP Struggles Above $2.20

On the daily timeframe, XRP continues to struggle after failing to sustain momentum above the $3.00 mark, which coincides with the Fib 0.382 retracement level. The asset faces well-defined resistance between $2.50 and $2.60, coinciding with the Fib 0.236 to Fib 0.382 retracement zone.

An even stronger rejection zone exists near $3.00, highlighted by a triple top formation and a volume spike that emerged during the recent attempt to break through this barrier. This volume spike serves as a clear indicator of significant selling pressure.

Moreover, multiple consecutive red candlesticks on the daily chart, highlighted by the bearish engulfing pattern, indicate a lack of bullish conviction. If sellers manage to push the price below the Fib 0.618 support at $2.20, the potential for further declines increases substantially.

A possible reversal scenario would require significant accumulation, indicated by increased buying volume and a decisive move above Fib 0.382. Ideally, buyers would need to rally and close a candle above the Fib 0.236 level to set the stage for a breakout attempt.

Technical Indicators: Mixed Signals with Predominantly Bearish Sentiment

Key oscillator readings remain largely neutral, showing signs of market indecision. The RSI values are approaching extremes, suggesting potential shifts in momentum.

• On the 1-hour chart, the RSI is approaching oversold levels, indicating strong selling pressure that could lead to a shift towards buying interest.

• The 4-hour chart shows the RSI moving into oversold territory, highlighted by readings below 30. This extreme reading suggests that selling pressure has become overwhelming.

The MACD is also providing mixed signals.

• On the 1-hour chart, the MACD is approaching a potential bearish crossover, which arises when the MACD line crosses the signal line from above. This scenario usually occurs during a downtrend and signals a loss of bullish momentum.

• However, on the