Introduction
Ripple’s XRP is consolidating under clear bearish pressure, trapped between key support and resistance levels. The cryptocurrency’s inability to reclaim $1.5 signals that recent gains were corrective rather than trend-reversing. Market participants are watching for a decisive break from the current compression phase, which currently reflects hesitation and a lack of aggressive commitment from either bulls or bears.
Key Points
- XRP's breakdown below the descending channel midline confirmed structural shift to sellers
- Price compression between $1 and $1.5 reflects temporary equilibrium, not trend reversal
- Clean breakout above $1.5 needed to target next supply zone around $1.8
Daily Chart Confirms Structural Shift to Sellers
The daily timeframe for XRP reveals a decisive breakdown below the midline of a descending channel, an event that triggered a strong impulsive sell-off toward the $1 demand region. This breakdown is significant as it confirmed a structural shift in favor of sellers, establishing a bearish foundation for the market. Following the sell-off, a rebound did occur, but it stalled definitively beneath the $1.5 resistance zone, which has now solidified into a firm supply area.
The inability of XRP to reclaim the $1.5 level is a critical technical signal. It indicates that the recent upside move was merely a corrective bounce—a temporary relief rally—rather than a new impulsive wave of buying. This dynamic shows that sellers remain active on rallies, effectively defending overhead supply. As long as XRP trades below $1.5, the broader market structure remains tilted to the downside. The price is now consolidating between the primary daily demand at $1 and the $1.5 resistance, with a decisive breakdown below $1 potentially exposing the market to deeper downside continuation.
Four-Hour Chart Reveals Range-Bound Compression
Zooming into the 4-hour timeframe provides a clearer view of the current market indecision. The rebound from the $1 level appears as a sharp reaction move, likely fueled by short-term profit-taking from sellers rather than sustained bullish conviction. This recovery pushed XRP toward the $1.5 supply region, but the price action shows clear hesitation and rejection upon reaching that zone.
The market has now entered a compression phase, forming a range-bound structure between the $1 demand and $1.5 supply. This compression reflects a temporary equilibrium, not a trend reversal. While buyers are actively defending the $1 support level, they currently lack the strength to mount a convincing challenge to the $1.5 ceiling. The declining volatility during this phase underscores the hesitation from both sides to commit aggressively, leaving XRP in a state of suspended animation awaiting a catalyst.
Critical Levels for the Next Major Move
The path forward for XRP hinges on a decisive break from its current trading range. The analysis points to two starkly different scenarios based on which key level gives way. On the bullish side, only a strong daily close above the $1.5 resistance would shift short-term momentum back in favor of buyers. Such a clean breakout with momentum could then target the next meaningful supply zone, which sits around the $1.8 level.
Conversely, the bearish risk remains predominant. A decisive breakdown below the crucial $1 support level would likely reintroduce aggressive selling pressure and resume the broader bearish leg that began with the channel breakdown. This would invalidate the current range-bound structure and confirm that the compression phase was merely a consolidation before further declines. For traders and investors in the cryptocurrency, these two levels—$1 and $1.5—define the immediate battle lines in Ripple’s market.
📎 Related coverage from: cryptopotato.com
