XRP’s Path to $2.10, Bearish Signal Flashes Warning
Over the past few days, the overall cryptocurrency market has experienced significant price declines and the market has been changing. During this period, XRP, a local token for Ripple Labs, failed to set its critical support level at $2.50, and is now expected to drop significantly.
XRP technical analysis and upcoming levels
According to expert technical analysis, XRP appears to be bearish as it collapses from the upward triangle pattern on the four-hour schedule. This bearish outlook is further confirmed by violating and closing the candle of the crucial $2.50 support level.
Based on recent price momentum and historical patterns, if assets remain below this critical support, it could drop 13% to reach $2.10 in the coming days.
In addition to bearish price action, XRP trades below the 200 Index Moving Average (EMA) over the daily time frame, indicating that the asset is in a downward trend.
Current price motivation
XRP is currently trading at close to $2.46, down 3.80% over the past 24 hours. However, during the same period, its trading volume increased by 100%, indicating an increase in traders and investors’ participation compared to previous days.
100% of trading volume is not necessarily a bullish sign. Often, it happens when an asset bursts out or collapses from a pattern, when traders actively engage to capture significant moves. In this case, it may be driven by the collapse of the rising triangle.
$15 million worth of XRP outflow
Despite this bearish outlook, investors and long-term holders appear to be accumulating tokens under the “buy immersion” strategy Small shop. Data from spot inflows/outflows suggests that the exchange has witnessed a large outflow of $15 million worth of XRP tokens over the past 24 hours.
This outflow of exchanges indicates potential accumulation, which may create buying pressure and potentially reduce price declines.
