XRP has declined below the critical $3.40 support level, testing the 20-day Exponential Moving Average near $2.99. This technical barrier represents a pivotal point for the cryptocurrency’s near-term price direction. Market participants now watch for potential outcomes in two distinct scenarios.
A successful rebound near the $3 support zone could reignite bullish momentum, with initial resistance expected at $3.66. Further upside targets include the $4 and $4.86 price levels should positive sentiment strengthen.
Contrarily, failure to hold above the 20-day EMA may trigger deeper corrections. A decisive breakdown could initiate a bearish reversal pattern, potentially driving prices toward the $2.80 or $2.60 support thresholds.
Technical indicators currently reflect seller dominance following XRP’s inability to maintain $3.40. However, analysis suggests buyers may enter the market near the psychological $3 support area. While XRP’s growing market capitalization reflects expanding adoption, broader cryptocurrency market trends and regulatory policies remain key factors influencing future performance.