Ripple (XRP Price Falls Below $2, Signals Potential 30% Correction
Ripple's XRP price has fallen below $2, marking its lowest point in 75 days at around $1.92. This decline is driven by legal uncertainties and geopolitical tensions.
XRP Price Movement
- XRP broke below the critical $2 psychological support level on June 23.
- Legal ambiguity from the ongoing SEC vs. Ripple case contributed to market instability.
- Global risk aversion led to institutional outflows from major altcoins including XRP, Solana, Ethereum, and Cardano.
- The daily RSI dropped below 40, indicating bearish momentum.
- A continued decline may push XRP towards a technical floor of $1.50.
Market Sentiment
- Bears dominate with $318 million in short positions against $89 million in longs over the past week.
- About $15 million in leveraged shorts are concentrated around the $2.10 resistance level, acting as a supply wall.
- A breach above $2.10 is necessary to reverse bearish sentiment.
Technical Analysis
- XRP exhibits a Head and Shoulders pattern, indicating potential for a 30% drop toward $1.45-$1.50.
- The Relative Strength Index (RSI) at 38.95 shows no signs of an immediate bullish reversal.
- Resistance levels are established at $2.20 and $2.45, while mid-term support is at $1.50.
Conclusion
Unless there is a favorable development in the SEC case or geopolitical issues, bearish pressure on XRP is likely to continue.