As the crypto market recovers from the latest pullback, XRP is attempting to climb up from its recent lows. Some analysts have suggested that the cryptocurrency must defend its current levels or risk a 50% drop to levels not seen since 2024.
Related Reading
XRP At Make-Or-Break Level
Amid the start-of-week market correction, XRP recorded a 6% drop toward its lowest level in weeks. The price lost $2.00 support on Monday morning and continued to lose key levels despite uninterrupted institutional interest.
The cryptocurrency has been trading within the $2.00-$2.25 price range over the past month, only losing its lower boundary during the late November pullback. Monday’s correction sent the altcoin below the range’s lower support again, hitting a multi-week low of $1.88 before bouncing around an area that has been crucial for the past year.
Notably, XRP has bounced from the $1.85-$1.90 support zone after every major correction since the November 2024 breakout, climbing back above the $2.00 level each time. However, some market observers have suggested that the price risks a significant correction if it is unable to hold the current levels.
Ali Martinez pointed out that the cryptocurrency has fallen below its one-year price range, between the $1.92-$3.27 levels, which could lead to a 50% drop below this area. To the analyst, XRP’s price must secure a daily close above $1.92 to prevent a drop to the $1.00 support, which has not been seen in over a year.
Similarly, Cheds Trading affirmed that XRP is “flirting with a high time frame breakdown.” Per the chart, the altcoin appears to be forming a high-timeframe rounding top or double top pattern with a higher high.
The analyst noted that in the case of the latter, the M formation would be confirmed if the $1.88 level, where the pattern’s neckline is situated, is lost. This could lead to a “measured move to roughly [the] MA 200 area/$1.00 range.”
Price Ready For 2026 Markup Phase?
Despite the warnings, other market watchers shared a positive outlook for XRP in the coming months. Trader Niels affirmed that the leading altcoin is “looking good” at the current levels.
According to the post, the cryptocurrency is “sweeping the $1.8 support zone again” while showing a bullish divergence on the daily timeframe, which suggests that the price could soon move to higher levels.
To the trader, once XRP breaks above $2.20 resistance, it could surge 27%-37% towards the $2.80-$3.00 area “within a month.”
Meanwhile, analyst ChartNerd highlighted that XRP appears to be repeating its 2023-2024 price action, which led to its massive breakout in November 2024. The chart shows that the altcoin accumulated for a year and a half, bouncing between the range’s lower and upper boundaries before its markup phase in late Q4 2024.
Related Reading
Following this expansion period, the cryptocurrency is showing a similar accumulation range, leading the analyst to suggest that XRP may continue consolidating within its current range before another markup phase occurs.
“Regardless of scenarios, or how ugly/beautiful it gets, a massive markup phase similar to November 2024 is likely between now and late 2026,” he stated.
As of this writing, XRP is trading at $1.92, a 1.65% increase in the daily timeframe.
Featured Image from Unsplash.com, Chart from TradingView.com
