The price of XRP, much like the rest of the crypto market, is facing a short-term pullback. On the daily time frame, XRP has been losing momentum as Bitcoin cools off, and since most altcoins tend to follow Bitcoin’s lead, XRP is no exception. When Bitcoin dips or moves sideways, altcoins often react with sharper drops, and that’s exactly what’s happening now.
Bitcoin dominance is currently quite strong, which means Bitcoin is holding its value better than many altcoins. This puts added pressure on coins like XRP, which are now struggling to stay above important support levels. Recently, XRP slipped below a key support area around $2.30.
Is There a Bullish Pattern Forming?
With this level lost, analysts are now keeping a close eye on the next important zone, which sits between $2.10 and $2.15. If XRP fails to hold here, the next significant level to watch would be around $2.00, and below that, there’s some support near $1.80.
Interestingly, there’s a bullish setup forming on the daily chart. There are early signs of an inverse head and shoulders pattern, which is a classic reversal formation that could hint at a bigger move to the upside.
Short-Term Outlook
However, for this pattern to actually play out, XRP would need to stabilize somewhere in the lower $2 range, likely between $2.00 and $2.15, before bouncing back towards $2.62. A confirmed breakout above this higher level would be a strong bullish signal, possibly opening the door to new highs. But for now, this pattern is only a possibility and not confirmed.
In the shorter time frames, XRP has also lost a bit of positive momentum. A short-term bullish divergence recently failed as the price and RSI both made lower lows, canceling out the divergence. This signals the potential for further downside in the immediate term, with the next likely stop being around the $2.10 area.
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