XRP Breaks Below $2 Support, Signaling Potential Further Decline
XRP's price has fallen below the key $2.00 support level and remained there since Sunday, marking a significant technical breakdown. The cryptocurrency, which is used by Ripple to facilitate cross-border transactions, has been in a downtrend since July, with each subsequent bounce weaker than the last. Technical indicators are bearish, with the 50-, 100-, and 200-day simple moving averages (SMAs) all trending lower and the moving average convergence divergence (MACD) histogram showing deeper bars below the zero line.
Analysts have identified a downside target near $1.63, corresponding to the 61.8% Fibonacci retracement of the rally from $0.43 in 2024 to $3.66 in 2025. For bulls to regain momentum, XRP must rise above the late November high of $2.27. However, a softer-than-expected U.S. inflation report could trigger a risk-on sentiment in the market, potentially lifting XRP and other cryptocurrencies.
