What to Expect with XRP Price Trading Below $2

In this article, we discuss the current outlook for XRP’s price following its recent drop below the $2 mark. A prominent crypto analyst highlights the factors influencing this trend and potential future movements. Notably, Bitcoin's ongoing price correction may impact XRP's performance, but this could ultimately lead to a positive reversal.

Key Takeaways

XRP has recently dropped below $2, with key support levels observed around $1.95 and $1.90.
The price trends for XRP appear to be influenced by Bitcoin’s retracement, with current movements showing irregular behavior.
Key resistance for XRP remains at $2, with a potential rally towards $2.30 before year-end, but longer-term targets are considerably higher.
Analysts do not expect XRP to plummet to $1 in December, instead suggesting a more optimistic outlook.

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XRP Price Outlook Connected to Bitcoin’s Movements

As the wider crypto market experiences a declining trend, cryptocurrency expert Tara presents a fresh technical analysis of XRP. She noted in a recent post on X that the current price action of XRP indicates that it is undergoing a more profound pullback compared to Bitcoin, which is navigating its correction phase. This disparity could lead to unusual price movements for XRP in the immediate future.

According to Tara, XRP recently touched the 0.382 Fibonacci retracement level around $1.95 after falling below the $2 threshold last week. Conversely, Bitcoin is halfway to a similar Fibonacci retest. Tara points out that Bitcoin's gradual retracement could slightly affect XRP's price trajectory. If BTC manages to advance towards its 0.382 retracement near $88,800, it might serve as a significant catalyst for XRP’s resurgence.

In her analysis, Tara specified crucial downside levels that XRP traders should monitor. She indicated that a decline below $1.916 could lead to a short-term dip to $1.90, where Lower Time Frame (LTF) support is situated. Additionally, she noted that another test close to $1.88 could occur as long as XRP remains under $2.0.

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Source: Chart from Tara on X

Tara has identified the $2 mark as a vital resistance area that could hinder any recovery attempts for XRP. A return to this level is expected to rely on Bitcoin's upward movement during its correction.

The accompanying chart illustrates XRP's downtrend on the 4-hour timeframe, continuing to trade below short-term Moving Averages (MA). Fibonacci levels indicate that $1.95 represents a complete retracement zone, while deeper support regions are clustered around $1.90 and $1.88. The Relative Strength Index (RSI) at the bottom of the chart is lingering in the lower range, indicating waning momentum but also showing potential for a bounce back if support holds.

Short-Term Outlook: XRP Stays Below $2.30

In response to inquiries on her X post, Tara shared her analysis on XRP’s price outlook regarding both short- and long-term projections. She indicated that the $2 mark only signifies resistance in the LTF context for XRP, whereas the actual barrier lies much higher at $9. Currently priced at approximately $1.91, a surge to $9 would represent an increase of over 374%.

Given XRP’s existing downtrend and the overall uncertainty in the market, Tara expressed skepticism regarding the likelihood of a rally to $9 in the short term. She also dismissed speculation that XRP could fall to $1 by December. Instead, she noted her more optimistic view, predicting that XRP might peak at around $2.30 before the year concludes.

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XRP trading at $1.90 on the 1D chart | Source: XRPUSDT on Tradingview.com