XRP (XRP/USDT) Faces Resistance at $2.12 Amid Bearish Sentiment
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The market for XRP against Tether is currently facing resistance around the $2.12 level. This is evident in the reaction of the price towards the resistance, even after a few attempts in recent days.
The market for the pair in the last 24 hours has dropped more than 1.28%, as the price extends towards $2.01. As it stands, one of the main factors associated with this decline is the release of 500 million XRP tokens from escrow by Ripple, which has given rise to an additional supply influx, causing a price drop.
Additionally, from the technical angle, the token has failed to hold above the $2.10 support, signaling potential downside amid the altcoin market’s weakness.
Currently, XRP trades at $2.0423, with more than 8.27 million traded volumes for the day.
Technical Indicators
Major Resistance Levels: $2.12, $2.20, and $2.30
Major Support Levels: $2.02, $1.90, and $1.80
Technical Analysis
Technically, the market for XRP against Tether has remained downward sloping for a prolonged period. This is evident in the extended bearish crossover by the Guppy Multiple Moving Averages (GMMA).
Additionally, the stochastic RSI on the daily chart is at 71.09, which is in the overbought region, signaling that the price could be due for a correction as the lines bend to the south.
To this end, if the previous support is not reclaimed, the bears remain dominant.
Today’s Update on XRP
In recent times, XRP has been holding above critical support, hoping for a clear bounce to the upside. However, it appears that the fourth wave is yet to bottom out, and things might still be a little bit grim for the bulls if the price breaks below the stated support level.
XRP/USDT Analysis: Expecting a Short-Term Correction?
On the 4-hour chart, XRP/USDT is currently seeing a pullback after encountering resistance at $2.12. At the moment, the Stochastic RSI is at 31.30, indicating that the asset is approaching oversold conditions, which could mean a reversal in the short term if the downtrend is exhausted.
However, it appears that the RSI is currently at 37.63, hinting that the asset is moving toward neutral territory and could be gearing up for a possible rebound.
Meanwhile, the volume is decreasing, showing that the selling pressure is subsiding, possibly signaling that the market is ready for a reversal or consolidation before another move.
To this end, if the price breaks the support level at $2.04, it could signal further downward momentum, but a bounce from here could lead to a retest of the $2.12 resistance.
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