In recent weeks, XRP's price trend has been under pressure, mainly because it has consistently failed to break through the critical resistance level of $2.73. Many investors have been looking forward to breaking this level to push XRP to a new historical high (ATH), but this delay has made market sentiment unstable, leading to more profit-taking.
This hesitation and the subsequent sell-off have clearly shaken investor confidence, with many choosing to lock in profits near current prices rather than waiting for a further rise.
Investor sentiment towards XRP is leaning pessimistic.
Because XRP failed to break through the resistance level of $2.73, profit-taking has become increasingly severe, with many investors choosing to sell during the recent rise.
This phenomenon can be seen from the realized profits, as an increase in realized profits usually means that investors decide to lock in gains rather than risk waiting for further price increases. This trend is a relatively unfavorable signal for XRP's short-term price outlook.
As more and more investors choose to realize profits, this creates a negative feedback loop that weakens XRP's upward momentum.
While profit-taking is a common reaction in the market, such a high level of selling still indicates that investor sentiment is gradually weakening.
The overall macro trend of XRP does not look very optimistic. A key investor confidence indicator - the average coin age (MCA) - has been declining for the past few weeks. This indicator tracks the average age of XRP in circulation, and a decline means that long-term holders are losing interest in holding XRP.
Although the overall cryptocurrency market trend looks relatively bullish, XRP has failed to achieve a significant rise, which has affected market sentiment.
Even if the entire market experiences a strong rebound, XRP has not followed suit, leading many to reassess their positions. Such weak macro trends not only affect XRP's price stability but also further undermine investor confidence.
XRP Price Prediction: Seeking Breakthrough
The current price of XRP is $2.43, facing resistance at $2.73, which is a critical point before it breaks the historical high of $3.31. As the price approaches this threshold, investors face both opportunities and risks.
While it has the potential for an increase, there are also some adverse factors that may lead XRP to consolidate between $2.73 and $2.00. The overall economic situation has had some impact on market sentiment for XRP, and the trend is somewhat cautious.
To change the current bearish outlook, XRP must break through $2.73 and turn this resistance level into support.
If it can achieve this, it may challenge the high point of $3.31 again, indicating that bullish momentum could return. Otherwise, before that, XRP's trend may continue to maintain a consolidation state, with limited upward momentum in the short term.
