XRP struggled to overcome the key $2.50 resistance, raising questions about a possible downtrend onset. Let's examine the current market situation, indicators, and investor sentiments.
Market Situation for XRP
As of March 28, 2025, XRP is trading at roughly $2.26, down 4.61% in the last 24 hours. Despite attempts to breach the $2.50 resistance zone, XRP has retracted towards its 50-day moving average of $2.37. The 200-day moving average stands at $2.52. The Relative Strength Index (RSI) suggests neutral momentum with a slight bearish leaning at 48.48.
Drop in Futures Interest
The futures market shows a reluctance of traders to take on risk, as open interest in XRP futures has dropped from around $5.8 billion in mid-January to $2.8 billion today. This 50% decline indicates a marked decrease in speculative action and reflects uncertainty about a bullish breakout. Lower open interest generally suggests fewer traders are using leverage, indicating less conviction in short-term price spikes.
Warning Signals for a 50% Correction
Veteran trader Peter Brandt has noted a textbook head-and-shoulders pattern on XRP’s daily chart, a bearish reversal signal. He suggests that if the pattern unfolds, XRP could correct more than 50%, possibly down to approximately $1.07. A conclusive rally over $3 would negate this bearish scenario, while a drop under $1.90 would confirm it.
Despite attempts to overcome the $2.50 resistance, declining speculative activity and mixed technical indicators further cloud the market picture. Some analysts predict a price correction citing bearish patterns, while others hope for a breakout if buying volume returns.
