The cryptocurrency XRP is undergoing a significant market correction, shedding approximately 22% of its value after rallying to a peak near $3.70.
Technical indicators signal potential short-term exhaustion, evidenced by a completed TD Sequential 9-count sell signal and a noticeable increase in bearish trading volume. Momentum appears to be weakening, highlighted by a Relative Strength Index (RSI) reading positioning at 45.16 and a bearish crossover on the Moving Average Convergence Divergence (MACD) indicator.
The price is currently testing a crucial technical support level around $2.65. Traders and analysts are closely monitoring this zone, viewing its integrity as key to determining near-term price direction. Meanwhile, the area between $2.95 and $3.00, which previously functioned as support during the rally, has now reversed roles to act as a significant resistance barrier.
Forecasts suggest a breach below the $2.65 support could trigger further declines. Potential downside targets reside within the $2.30–$2.40 range, with a more substantial historical support zone identified around $1.93, aligning with areas of heavy volume accumulation.
Despite the current downward pressure, the broader market structure for XRP remains interpreted as bullish by many analysts. However, the consensus indicates that the asset requires a period of consolidation to stabilize and potentially rebuild momentum following this sharp correction.