XRP/USD Daily Chart
Heikin Ashi candles clearly show a continuing bearish trend. Red candles with little or no upper wicks indicate strong bearish pressure with slight relief from buyers. XRP's price has failed to close above $2.10 for several sessions now, which is a bearish signal considering the previous support turned resistance.
The Relative Strength Index (RSI) currently sits at 35.49, well below the neutral 50 area. This indicates weak momentum, and unless a rebound occurs soon, the $XRP price may slip into the oversold region (below 30), increasing the risk of panic selling.
XRP is currently trading above $2.00, recording gains of over 300% from its base price before the sharp rise in November 2024. Early investors who bought during the low ranges are now realizing significant profits, leading to a noticeable wave of profit-taking.
In early June, data shows that these early holders began distributing their holdings at an average rate of $68.8 million per day (7-day simple moving average), indicating a significant phase of selling pressure and potential redistribution of tokens from long-term holders to new market participants.
Where are the key support and resistance areas?
A Fibonacci retracement from the swing low near $1.50 to the May high at $2.87 shows key levels that the market is currently testing.
Support area 1: $2.05 (0.618 retracement)
Support area 2: $1.86 (0.786 retracement)
Key psychological support: $2.00
If the XRP price fails to maintain the $2.05 level, we may see a retest of the $1.86 area. This represents a decline of approximately 8.33% from the current level.
On the positive side, the first resistance is at $2.10, followed by $2.30 and $2.50. A break above $2.30 could trigger short covering and attract new buyers.
Can the XRP price bounce back?
While the current structure favors declines, XRP has a history of quick reversals near the $2 level. If the price forms a double bottom structure or shows bullish divergence in the Relative Strength Index, it may likely bounce towards $2.30. If #XRP can reclaim $2.30, we might see a price increase of 11.33%.
But to achieve this, buyers must step in quickly to prevent further erosion of confidence. Watch for a long-bodied green Heikin Ashi candle - it may indicate seller exhaustion.
XRP Price Forecast: What is likely this week?
The current chart shows that the XRP price is at a critical moment. Based on recent price behavior, here’s what may happen during the next five to ten trading sessions:
Bearish forecast: Break below $2.05 → Target $1.86
Bullish forecast: Bounce above $2.10 → Target $2.30
Neutral forecast: Stability between $2.00 and $2.15
Considering the Relative Strength Index and price action, bearish forecasts seem more likely right now unless trading volumes increase in the coming days.
The XRP price holds support at $2.05. While a bounce is possible, the overall momentum is weak, and buyers are clearly hesitant. If you are considering entering, wait for a clear signal above $2.10 with increased trading volume. Otherwise, prepare for a potential drop towards $1.86 before any tangible recovery.