XRP, one of the leading cryptocurrencies, has encountered unexpected challenges. The asset broke a crucial six-month support level, questioning the future of its bull run.
Challenges in the XRP Market
Recently, XRP fell below the $2.62 mark, which had been a reliable support for the asset's growth. The breach raises concerns about further declines. However, a significant increase in trading volume may indicate potential accumulation at a discounted price.
Technical Indicator Analysis
The main warning sign is XRP's inability to stay above the 50-day EMA ($2.62). The RSI continues to fall, reaching 38, indicative of weak buying interest. If XRP does not gain momentum, the next significant support is around $2.17 (200 EMA), and breaking below could lead to $1.63.
Recovery Prospects
Despite the bearish structure, there are positives that could lead to a quick recovery for XRP. If the $2.17 level holds, bulls might recover towards $2.62 and $2.81. If buyers push XRP back above $2.62, there could be a chance to rebound to $2.81 or even $3.00.
XRP is at a crossroads; its next moves will determine if the bull run continues or the asset formally enters a bearish phase.
