Current Status of XRP Price Movements

The weekly XRP chart indicates a retracement is occurring, while the daily and 4-hour charts show a bearish trend and momentum for the altcoin.
If XRP dips below $2 soon, it could trigger further selling pressure, potentially pushing prices down to $1.9 and $1.61.
Since October 27, Ripple (XRP) has seen a retracement of 19%.
A recent report by AMBCrypto highlighted that late investors are under stress due to the ongoing retracement.
A declining NVT ratio suggests that XRP is undervalued relative to the volume traded on-chain, but this hasn't reassured buyers, as bearish sentiment dominates the market.

Key Takeaways

The weekly XRP chart indicates a retracement is occurring, while the daily and 4-hour charts show a bearish trend and momentum for the altcoin.
If XRP dips below $2 soon, it could trigger further selling pressure, potentially pushing prices down to $1.9 and $1.61.
Since October 27, Ripple (XRP) has seen a retracement of 19%.
A recent report by AMBCrypto highlighted that late investors are under stress due to the ongoing retracement.
A declining NVT ratio suggests that XRP is undervalued relative to the volume traded on-chain, but this hasn't reassured buyers, as bearish sentiment dominates the market.

XRP 1-week Chart Source: XRP/USDT on TradingView

Current State of XRP's Price Action

Weekly XRP Analysis

The weekly XRP chart reveals significant aspects of its price trajectory. Importantly, the swing structure remains bullish, with key swing points defined at $0.486 and $3.4. Recently, a higher low was established at $1.61, which bears now need to break to alter the bullish structure.

Using the Fibonacci retracement levels from the most recent price impulse, a warning for long-term bulls emerges. The $2.28 level, falling under the 78.6% retracement, has altered hands to the bears. Additionally, the Relative Strength Index (RSI) dipped below 50, suggesting that downward momentum now prevails. Although the On-Balance Volume (OBV) has not dropped substantially, it presents a minor positive point for XRP bulls.

XRP Bulls Struggle to Maintain Price Above $2

XRP 1-day Chart Source: XRP/USDT on TradingView

On the 1-day chart, the $2.7 zone is identified as a critical supply area. This zone emerged after the crash on October 10, which created a significant imbalance and has continued to act as resistance since. Despite multiple attempts to retest this area, it has yet to break through.

The bearish structure of the 1-day chart is clear, with $2.06 marking a vital swing point. A daily close beneath this level would confirm the continuation of the bearish trend. However, until that happens, there remains a glimmer of hope, albeit a slim one.

XRP 4-hour Chart Source: XRP/USDT on TradingView

Analyzing the 4-hour (H4) chart underscores the significance of the $2.06-$2.15 range as a bullish stronghold. For XRP to maintain prospects for recovery, it must experience a bounce from this area. This range also represents a potentially advantageous buying opportunity with defined risks. For traders aiming to take long positions, it's prudent to place stop-loss orders just below the $1.97 mark, where liquidity has been concentrated.

A closing session below $2.06 on the daily chart, or a 4-hour close under $1.97, would confirm a continuation of the downtrend. Traders should then consider a bearish bias and look for shorting opportunities.

Disclaimer: The information provided in this article is for informational purposes only and does not constitute financial, investment, or trading advice. It reflects only the author's opinion.