XRP Faces Key Resistance at $2.50-$2.60 Amid Recovery Attempt

The XRP/USD pair, trading on platforms like Kraken, has established a crucial resistance zone between $2.50 and $2.60 that will determine the cryptocurrency’s next major move. This barrier is reinforced by a key bearish trend line forming with resistance precisely at $2.50 on the hourly chart, creating a significant technical hurdle for bulls attempting to push the price higher. The current trading pattern shows XRP struggling to maintain momentum above this critical level despite showing positive signs in its recovery from recent lows.

Technical analysis reveals that XRP price found substantial support near $2.30 before initiating its current recovery wave, mirroring broader cryptocurrency market movements observed in both Bitcoin and Ethereum. The recovery managed to push the price above the 61.8% Fibonacci retracement level of the downward wave from the $3.05 swing high to the $1.40 swing low, indicating significant progress from recent lows. However, the inability to breach the $2.50-$2.60 resistance zone has kept the cryptocurrency in a consolidation phase, with the 100-hourly Simple Moving Average acting as additional overhead resistance.

A decisive break above the $2.60 resistance level could trigger a fresh surge in XRP price, with immediate targets at the 76.4% Fibonacci retracement level at $2.660. Beyond this level, the cryptocurrency could test resistance at $2.750, followed by the $2.780 zone. The next major hurdle for sustained upward momentum sits near $2.820, which would represent a significant recovery from current levels and potentially signal a broader trend reversal for the XRP/USD pair.

The Fibonacci retracement levels from the $3.05 high to $1.40 low provide clear technical markers for potential price movement. The 61.8% level has already been breached during the current recovery, but the 76.4% level at $2.660 represents the next significant Fibonacci barrier. These technical levels, combined with traditional resistance zones, create a roadmap for traders monitoring XRP’s price action on exchanges like Kraken and comparing its performance to major cryptocurrencies like Bitcoin and Ethereum.

Should XRP fail to clear the $2.50 resistance zone, the cryptocurrency could initiate a fresh decline, with initial support established near the $2.40 level. This represents the first line of defense for bulls attempting to maintain the recent recovery momentum. A break below this level would signal weakening buyer interest and potentially trigger further selling pressure toward more substantial support zones.

The next major support level sits at $2.30, which previously acted as a launching point for the current recovery wave. A decisive break and close below $2.30 would likely accelerate downward momentum, potentially pushing XRP price toward $2.2420. Further deterioration could see the cryptocurrency test the $2.220 support zone, with the ultimate major support established near $2.120. These support levels create a safety net for the current recovery attempt but would need to hold to prevent a more significant retracement.

Current technical indicators for the XRP/USD pair present a mixed picture that suggests traders should exercise caution. The hourly MACD (Moving Average Convergence Divergence) is now losing pace in the bullish zone, indicating that upward momentum may be stalling despite recent positive price action. This deterioration in bullish momentum coincides with the price’s struggle to overcome key resistance levels, creating uncertainty about the sustainability of the current recovery attempt.

The hourly RSI (Relative Strength Index) currently sits below the 50 level, further supporting the notion that buying pressure may be waning. An RSI reading below 50 typically suggests neutral to bearish momentum, which aligns with the price’s position below both the $2.50 psychological level and the 100-hourly Simple Moving Average. These technical readings, combined with the formation of the bearish trend line at $2.50, create a challenging environment for bulls attempting to push XRP price higher in the near term.