Over recent days, XRP's price has significantly fallen, losing over 5% in a week amid a recent rally sparked by the SEC settlement news.
Recent XRP Price Fluctuations
Currently priced at $2.37, XRP has dropped by more than 5% over the last seven days and 3.4% over the last 24 hours. Trading volume also decreased by 39%, falling from over $4 billion to $2.9 billion. This downturn followed an upward trend that began after news broke about Ripple's settlement with the SEC, wherein Ripple agreed to pay $50 million from the original $125 million fine.
Technical Analysis of XRP/USDT Chart
Analyzing the daily XRP/USDT chart reveals two bearish patterns: a head and shoulders (H&S) formation and a descending triangle, both suggesting potential downside risks. The left shoulder began forming in late December 2024, with a peak around $2.80. The head, the highest point of the pattern, reached approximately $3 in early January 2025. Since February, XRP has tested the $2 region thrice, quickly rebounding from this key support level.
Forecasts and Potential Scenarios
If XRP fails to hold the $2 support level during its next retest, it could potentially slide down by 40% to $1.20. However, the $1.76 zone, aligning with the 200-day moving average, might offer some support to buyers. Completing the bearish pattern could signal a long-term downward trend, but to reverse the momentum in favor of buyers, XRP needs to quickly reclaim the $2.50 level, pushing it above the upper triangle trendline and establishing key resistance.
XRP's current market state is concerning, reflecting weakness compared to major cryptocurrencies. A quick price rebound above critical resistance levels can stabilize the current situation.
