XRP Price Holds Key Support Amid Volatility, Debating Whether the XRP Price is Gearing Up for a Major Reversal

Investors and analysts are closely monitoring this critical zone, debating whether the XRP price is gearing up for a major reversal or facing another downturn.

Investors and analysts are closely monitoring this critical zone, debating whether the XRP price is gearing up for a major reversal or facing another downturn.

If the bulls can keep the $2 level from breaking, then the XRP price may move towards resistance at $2.25 and reach as high as $2.70. On the other hand, if this support level is broken, then we may see Ripple plummeting to $1.85 or even $1.60 in extreme scenarios.

Crypto analyst Ali Martinez cautions that a close below $2 would confirm a head-and-shoulders pattern, signaling a macro trend shift. “A drop below $2 could indicate a major breakdown, potentially pushing XRP price toward $1.20,” Martinez stated.

However, other market observers like analyst Bitcoin Buddha are optimistic about Ripple XRP news, noting that XRP recently broke a three-year downtrend, which could act as a catalyst for long-term growth.

“If you’re selling here, remember that XRP price has shown remarkable strength in the past,” said Bitcoin Buddha, highlighting the resilience of the crypto.

Despite the turbulence, institutional investors are still showing interest in Ripple currency. According to CoinShares, XRP had $5.6 million inflows for last week, trumping Bitcoin and Ethereum which saw outflows of $756 million and $89.2 million respectively.

This is a sign that whales are still bullish on XRP, possibly influenced by growing hope in the XRP vs SEC case. Most investors are confident that a winning verdict in the SEC Ripple lawsuit will cause the Ripple price to go through the roof.

XRP faces a crucial test, as a close below $2 could confirm a head-and-shoulder's breakdown, signaling a macro trend shift. Source: Ali Martinez via X

Cryptocurrency prices often move in tandem, especially within the same asset class. In this case, we can look at how Bitcoin’s movement remains a powerful force influencing the XRP price, with the entire crypto market still looking to BTC for guidance.

Traditionally, when Bitcoin goes up with vigor, it tends to benefit altcoins like Ripple with better investor sentiment and liquidity inflows. But when Bitcoin declines, it usually induces panic selling among the altcoins, including Ripple.

And now, Bitcoin is experiencing its own volatility, with speculators wondering if it can maintain significant support levels.

If BTC holds firm and regains strength, then there is a possibility for Bitcoin to support Ripple market sentiment, with traders buying XRP in hopes of a larger crypto recovery.

But if Bitcoin falls below meaningful support areas, then it would put pressure on XRP, and a decline in the Ripple price in USD to $1.85 or lower may have a higher probability of occurrence.

XRP saw strong investor interest with notable inflows, outperforming Bitcoin and Ethereum during a market downturn. Source: Mark A. via X

Second, the correlation of Bitcoin with traditional financial markets, and even more so macroeconomic forces such as interest rates and inflation numbers, aids in determining today’s XRP price prediction. A better macroeconomic environment would support BTC, thereby indirectly benefiting Ripple exchange rates. Any negative shift in the global financial environment, on the other hand, can aid in inducing fresh selling pressure across the crypto universe.

According to cryptocurrency analyst CW23, technical charts suggest that the Ripple market sentiment remains neutral. The Relative Strength Index (RSI) is near oversold, suggesting a potential bounce. Momentum remains low, and XRP needs to make a strong break above $2.20 to confirm a long-term recovery.

XRP is holding above the key $2 support level sparks optimism for a bullish reversal. Source: CW23 on TradingView

If buyers can hold the $2 level, the XRP price may move towards resistance at $2.25 and reach as high as $2.70. Otherwise, a breakdown of this support level may see Ripple plummeting to $1.85 or even $1.60 in extreme circumstances.

If the bulls can keep the $2 level from breaking, then the XRP price may move towards resistance at $2.25 and reach as high as $2.70. On the other hand, if this support level is broken, then we may see Ripple plummeting to $1.85 or even $1.60 in extreme scenarios.

Crypto analyst Ali Martinez cautions that a close below $2 would confirm a head-and-shoulders pattern, signaling a macro trend shift. “A drop below $2 could indicate a major breakdown, potentially pushing XRP price toward $1.20,” Martinez stated.

However, other market observers like analyst Bitcoin Buddha are optimistic