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- XRP faces sharp decline as key support at $2.78 tested.
- Expert warns bearish trend may intensify if support breaks soon.
- Technical indicators signal further XRP losses amid weak buying pressure.
XRP has come under pressure, raising alarms among cryptocurrency traders and investors. According to expert Peter Brandt, XRP’s recent price action looks “very negative,” suggesting the token could face further declines.
The digital asset is nearing an important support level at $2.78. A breach of this level may cause heavy downward movement. This week, XRP broke through its emerging lower pattern with a 6% decline that hit an intraday low of $2.8 at the Bitstamp exchange.
This then sold well below the mid-July high of $3.67, illustrating recent sell-offs. The decline in XRP echoes the overall weakness in the cryptocurrency space, as Bitcoin and other major coins have also recorded sharp losses in the downward move.
Traders point out that the bearish sentiment has gained firm ground as sellers continue to dominate the markets and restrict the list of buyers.
Also Read: XRP Price Prediction: Analyst Says $18, $27, or Even $200 Possible Next Cycle
Technical Indicators Suggest Ongoing Downward Pressure
At the moment of writing, the XRP token is trading at $2.78361, and it seems to be failing to push through resistance, which indicates further bearish cycles are likely ahead. Bollinger Bands have shown that the token is approaching the low band at $2.75097, which is usually an indicator of an oversold condition.
If this kind of support is not met, XRP could suffer further losses and eventually test lower support levels. The Relative Strength Index (RSI) is at 40.84, which is neutral, but a shift in the RSI towards lower values is possible as the market can start to experience further downside pressures.
This type of trading forms a candlestick chart tailored to mostly red formations of candles containing a small candle that is green in colour, representing weak buying power and hesitation in the market.
Despite these negative signals, XRP still has a chance at a short-term rally. It stays firm, providing support in the near term at $2.75. However, according to the existing technical signals, the asset is still at risk of further downside before market sentiment improves.
XRP stocks are in close focus as a break below $2.78 may speed up the bearish journey and enhance concerns among the market participants. This will be the beginning of key trading sessions in the future to determine whether XRP will be able to stabilize or keep crashing.
The analysis offered by technical and market performance indicates XRP is still pressured, and a new downside could occur if the general market refuses to strengthen.
Also Read: Pi Coin Set for Big Move: Will It Break $0.400 in the Coming Days?
