Cryptocurrency analyst EGRAG CRYPTO has long been one of the most staunch bulls on XRP, even as the dispute between Ripple and the SEC puts pressure on XRP. However, due to XRP's struggles in the current bear market, this analyst has pointed out several important levels to watch. Although EGRAG continues to predict that XRP will set a new historical high, he warns that XRP must hold this last line of defense, or it risks falling into a bear market.

XRP price must not drop below $2.33.

Analysts point out that the XRP price is currently still maintaining reasonable levels, which may indicate a restart of bullish momentum. However, the larger the price drop, the more likely XRP will completely fall into the hands of bears, ultimately leading to a collapse.

As price fluctuates, $2.90 now becomes the midpoint of the linear logarithmic channel. This makes it an important level, and EGRAG believes that if the price can maintain above this level, it will indicate strong bullish momentum for XRP.

If it fails, the next major support and defense level for XRP will drop to $2.65. The importance of this level cannot be underestimated, as it must be held even if the price falls below it. As EGRAG explained, if the closing price falls below this level, it means the altcoin is 'in trouble.'

Further declines may be the last line of defense for bulls, and this line is at $2.33. This is the two-week moving average, and if the price wants to set a new historical high, it must hold this key level. Otherwise, control will completely fall into the hands of bears, indicating a bearish trend.

Another major level indicating bear market control is $1.90, which EGRAG describes as the 'bear market defense line.' A closing below this level will firmly place XRP in the bear market zone. Subsequently, $1.62 will confirm the bearish trend, as the price will completely lose support.

Why there is still hope

Despite the market sentiment leaning negative, this cryptocurrency analyst remains optimistic about XRP's long-term performance. He points out that the white arch outlined in the chart coincides with the blue upper boundary of the linear logarithmic channel.

At the top of this channel, the price is far above $20. The key move needed here is for XRP's price to successfully close above $3.65, which will push the altcoin into the price discovery phase. If this happens, the analyst will say: 'The story is over,' and expect the price to soar.