- XRP price faces bearish pressure, struggling to breach resistance at $0.6 and defending support at $0.58 amidst market downturn.
- Long-term analysis shows XRP trading within a multi-year symmetrical triangle, with recent Bitcoin slump intensifying bearish sentiment.
- Potential bearish scenario could see XRP dropping to $0.53, a crucial support level; failure here might lead to further decline to $0.4.
The recent trading market conditions have taken a toll on the XRP price rally, with the token printing a large bearish candle. Despite constant attempts to breach the immediate upper resistance of the pattern, which could have potentially lifted the price above the bearish trend, the XRP price has plunged below $0.6 and is currently fighting to defend the lower support of $0.58.
If the XRP Army fails to provide the necessary support, an extended pullback could drag the levels close to $0.52 before the end of the week, further exacerbating the bearish sentiment surrounding the token.
From a long-term perspective, the XRP price has been observed to fluctuate within a multi-year symmetrical triangle pattern. The price had been consistently trading along the upper resistance, fueling speculation that it might be preparing to break above these levels. However, the recent slump in the Bitcoin price below $64,000 has triggered a massive bearish wave across the market, which appears to have significantly impacted the XRP price as well.
As a result, the fear of extended bearish actions continues to haunt the XRP price rally, with the bears seemingly dominating the market once again.
Where is XRP headed next?
In the event that the bearish scenario materializes, there is a possibility of the XRP price experiencing a further decline of approximately 10% to 12%, potentially reaching levels near $0.53 in the upcoming days.
The $0.53 level holds significance as a crucial support, marking the final line of defense within the triangle pattern. Failure to maintain this level could signify a breakdown of the pattern, affirming the bearish trend and potentially leading to a further decline of over 15% towards the lower critical support at $0.4.
However, the likelihood of such an extreme bearish scenario seems low at present. A strong rebound at either $0.52 or $0.5 could propel the price back above $0.6. This would bring the XRP price to the apex of the multi-year symmetrical triangle, and a breakout from this point could trigger a notable upswing, initially targeting $0.8 and subsequently $0.9 in the near future.
