- XRP has dropped below significant levels as it moves in the least expected direction.
- The token is now at a critical point where it could either recover or decline even further.
- Traders are looking for signs to confirm if this is the bottom or a deeper trend.
XRP’s price movement has taken an unexpected turn, challenging historical probabilities and pushing into key support zones. EGRAG CRYPTO had previously highlighted an ascending triangle formation, a pattern that statistically breaks upward 70%–75% of the time. However, the market has taken the less probable route in this instance, moving downward with a 25%–30% probability scenario. With XRP trading around $2.20 at the time of writing, the focus now shifts to whether the token has established a solid support level or faces a deeper correction.
Key Resistance and Support Zones Define XRP’s Next Move
The chart highlights three highs, $3.4000, $3.2240, and $2.7500, levels that XRP has previously failed to sustain. The latest rejection at $2.6300 and $2.4700 highlights a continued bearish trend. A descending trend and a well-defined ascending channel are currently guiding XRP’s price action within the $2.10–$2.20 range. However, the most concerning aspect is the potential for a breakdown below $2.000, and in an extremely bearish scenario, XRP could drop as low as $1.60.
The failure to sustain higher price levels could indicate another shakeout before a potential reversal. The market is now in a decisive phase, where a bounce from support could see XRP retest $2.4700, but a failure to maintain structure could lead to an extended drawdown.
Related: XRP’s Ascending Triangle Breakout: Caution as March Nears
Potential Double Bottom Formation and Recovery Outlook
Despite short-term uncertainty, EGRAG CRYPTO suggests a possible double-bottom formation, which could help XRP recover. If XRP manages to establish stability above $2.000, the probability of recovery increases, potentially targeting the previous resistance zones. Conversely, a breach of this psychological level would validate deeper retracement levels, reinforcing the $1.600 target.
Traders now await confirmation of a reversal signal, with increasing buying interest playing a key role in determining the next move. Reclaiming $2.47 would be the first step in regaining bullish traction, setting the stage for another attempt at $2.63 and beyond. Until then, traders must navigate a volatile environment, with XRP balancing between recovery and another potential leg downward.
