XRPUSD recently formed a major peak at approximately 2.30050 level and has since experienced a notable pullback, indicating potential bearish momentum in the short term.
Price action shows that after reaching these highs, XRPUSD has retraced significantly and is currently hovering around the 2.17987 level, which coincides with the 61.8% Fibonacci retracement level at 2.15491.
Key XRPUSD Levels To Watch
The Fibonacci retracement levels drawn from the recent low to high provide crucial support zones that traders should monitor closely. The 38.2% Fib level at 2.21051 has already been breached, followed by the 50% retracement at 2.18271, which briefly offered support before giving way. Currently, price is finding some stability near the 61.8% Fibonacci level at 2.15491, which represents a critical support area.
If this level fails to hold, the 100% Fibonacci retracement at 2.06493 could be the next major target for sellers, potentially signaling a complete reversal of the prior uptrend. On the upside, immediate resistance now exists at the 50% Fib level (2.18271), followed by the 38.2% level (2.21051), which could cap any recovery attempts.
The chart also shows a clear rectangular consolidation area in the earlier part of the time frame, which served as a base before the recent bullish move. This zone might come into play again if the current pullback extends further.
XRPUSD Technical Indicators Analysis
The moving averages on the chart provide important dynamic support and resistance levels. The blue line (100 SMA) is positioned above the red line (200 SMA), indicating that the broader trend still maintains a bullish bias despite the recent correction.
These moving averages are currently sloping upward around the 2.10000-2.12000 area, which could provide additional support if the 61.8% Fibonacci level is broken.
Momentum indicators are showing bearish signals. The stochastic oscillator (top indicator panel) has turned lower from the overbought territory and is currently pointing downward, suggesting further selling pressure may be imminent.
Similarly, the RSI (bottom indicator panel) is declining from higher levels and currently reading around 40, indicating diminishing bullish momentum but not yet reaching oversold conditions.
Both oscillators suggest there’s still room for the correction to continue before XRPUSD reaches oversold levels where a potential bounce might occur.
XRPUSD Price Outlook
The current price action suggests XRPUSD is in a corrective phase following its recent rally to the 2.30050 level. The pullback to the 61.8% Fibonacci retracement level is often seen as the “last line of defense” for bulls in an uptrend. How price behaves at this crucial juncture will likely determine the next directional move.
If buyers step in at the current level and push XRPUSD back above the 50% retracement (2.18271), we could see a resumption of the uptrend with potential targets at the previous high (2.30050) or beyond. Formation of bullish candlestick patterns near the current level would strengthen this bullish scenario.
However, if sellers remain dominant and push the price below the 61.8% Fib level decisively, the correction could extend toward the 100% retracement level (2.06493), potentially negating the prior bullish structure. Additionally, a break below the 100 and 200 SMAs would significantly weaken the medium-term outlook and could signal a shift to a more pronounced downtrend.
External market factors, including broader cryptocurrency market sentiment and developments related to Ripple’s ongoing regulatory clarity, will also play crucial roles in determining XRP’s price direction in the coming sessions. Traders should maintain caution and consider these technical levels while implementing appropriate risk management strategies.