XRP is currently trading at $2.24, with the price stagnating between $2.00 and $2.73. Breaking through $2.73 is a critical threshold for bullish momentum to revive.
However, traders have started to turn to the bear market and short contracts are in the majority. The RSI is in a bearish trend and macro momentum is weakening. If the $2 support is lost, it could pose a serious risk of collapse for XRP. On the other hand, turning the $2.73 support level into a mandatory step to achieve the $3.31 ATH target.
XRP has struggled to reach new all-time highs relative to other cryptocurrencies like Bitcoin, and its price action is currently sideways. This stagnation is preventing the altcoin from rallying and is disappointing breakout expectations among investors. The recent performance shows increasing bearish sentiment among traders.
The long/short ratio for XRP shows that short contracts dominate long contracts, reflecting the monthly low. This imbalance highlights investors’ expectations that XRP’s price will fall rather than rise. The predominance of short positions suggests that the majority of traders believe XRP will lose value. This could keep the altcoin’s price under pressure in the short term, amid broader market uncertainty. XRP’s macro momentum is also weakening, with the Relative Strength Index (RSI) moving down, suggesting that bearish momentum is increasing. However, the RSI is still above the neutral line, and selling pressure is not yet dominant. While this leaves room for a potential recovery, the downtrend should be watched with caution.
XRP is currently consolidating between $2.73 and $2.00 and has been stuck in this range for the past three weeks. This prolonged stagnation is preventing the altcoin from moving higher and is delaying its opportunity to form an ATH (all-time high). XRP’s current ATH of $3.31 is 48% away from the current price level. In order for XRP to reach this level, it would first need to break out of the current price range and make support at $2.73. This move could signal new bullish momentum and pave the way for a potential rally.
If XRP loses the $2.00 support, bullish expectations will be invalidated and the price may risk further losses. Therefore, it is important for traders to carefully monitor the momentum and price action.