The price of Ripple (XRP) has once again fallen below the crucial support level at $3, raising questions about its future direction. The analysis indicates that the next potential support and resistance levels may define short-term and long-term trends.
Key Support Lost
Last week, XRP made an attempt to reclaim the $3 support level but failed to hold it, despite briefly surging to $3.1. In the days that followed, sellers returned and pushed the asset below this level. If bears manage to turn $3 into a resistance, then the next key support level will be found at $2.7.
Momentum Turning Bearish
At this moment, XRP is showing a bearish trend with clear lower highs. The price action is forming a descending triangle with a base at the $2.7 support. Should that level be retested later and fail to stop sellers, then XRP will continue its correction.
MACD Bearish Cross
The three-day MACD also supports a bearish bias as it crossed to the negative side in the past week. Additionally, the moving averages have been falling and gained speed in the past few days, indicating intensified selling and bears controlling the price action. It is hoped that the key support at $2.7 will halt this correction.
The current market situation for XRP indicates a series of bearish signals, raising concerns about further declines. Investors should closely monitor support levels, as the price's future movements depend on sellers' behavior at these key marks.
