The XRP price is currently hovering around $2.4, a level that some investors see as a sign of stability. However, others are cautious, fearing that a larger correction may be on the way. With Bitcoin’s price movements often dictating the broader crypto market, many analysts are now predicting that if Bitcoin drops below $100K, XRP may follow suit.
XRP Price Stabilizes at $2.4 – Good or Bad Sign?
After weeks of strong gains, the XRP price has managed to stabilize around $2.4. On the surface, this appears to be a positive sign, as it indicates that XRP has found a new support level. But not all investors are optimistic.
Stability after a major rally often signals that a market is preparing for its next move — either up or down. And in XRP's case, some signs point toward a possible downtrend. Here’s why:
- Lack of New Highs: XRP’s inability to push above $2.4 suggests that the bullish momentum is fading.
- Profit-Taking by Whales: The recent flash crash below $2 hints that whales may be taking profits, especially after XRP’s massive 400% rally in 6 months.
- Bitcoin Struggles at $104K: Bitcoin is often seen as the “market leader” in crypto. When Bitcoin fails to break key resistance, it tends to drag down other cryptocurrencies like XRP.
XRP/USD 45-mins chart - TradingView
While XRP is holding $2.4 for now, investors are keeping a close eye on the market, especially with Bitcoin struggling to stay above $100K. If Bitcoin dips, it could spark a chain reaction that pulls XRP down as well.
XRP Flash Crash – What Happened?
The recent flash crash of XRP saw the price briefly drop below $2, causing panic in the market. Flash crashes like this happen when large sell orders trigger a series of stop-loss orders, creating a rapid decline in price.
XRP/USD 1-hour chart - TradingView
But in XRP’s case, the crash was short-lived. Buyers quickly stepped in, pushing the price back above $2 and up to its current level of $2.4. While the recovery was a positive sign, the event also exposed a key weakness:
- Profit-Taking by Investors: After a 400% rally in just six months, it’s no surprise that some investors are taking profits. The flash crash suggests that big players (often called whales) may be offloading XRP at these higher price levels.
- Market Volatility: Flash crashes often happen during periods of high market volatility. As Bitcoin struggles at $104K, smaller cryptocurrencies like XRP experience even bigger swings.
- Potential Warning Sign: Flash crashes often indicate that a larger downtrend is on the horizon, as they reveal weaknesses in the market's buying power.
The market is now closely watching to see if XRP can hold support at $2.4, or if another flash crash will push it lower.
XRP Price Prediction – Will XRP Drop Below $2?
Many analysts are now forecasting that the XRP price could head lower in the coming weeks. After falling below its 21-day Simple Moving Average (SMA 21), XRP is flashing a bearish signal.
The SMA 21 is a key technical indicator that traders use to gauge the market trend. When the price moves below this level, it’s often a sign that selling pressure is increasing. This is exactly what’s happening with XRP.
Here’s a breakdown of the key support and resistance levels to watch:
- $2.4 – Current resistance. If XRP can break above this level, it could trigger a bullish reversal.
- $2.1 to $2 – Key support range. If XRP falls into this range, buyers will likely step in to “buy the dip.”
- $1.8 – If XRP breaks below $2, analysts predict that the price could drop to $1.8 before finding support.
What’s Driving XRP's Next Move?
The next move for XRP will largely depend on the performance of Bitcoin. When Bitcoin struggles, the rest of the market typically follows. Right now, Bitcoin is facing strong resistance at $104K. If Bitcoin fails to break this level and instead drops below $100K, analysts believe that XRP will also face increased selling pressure.
But Bitcoin isn’t the only factor to watch. Here are the key drivers of XRP’s next move:
1️⃣ Bitcoin Price Movement – If Bitcoin breaks below $100K, it’s likely that XRP will drop as well.
2️⃣ Investor Sentiment – With XRP already up 400% in 6 months, many investors are looking for an opportunity to lock in their profits.
3️⃣ Technical Indicators – XRP falling below the SMA 21 is a key bearish signal. It indicates that the short-term trend has shifted from bullish to bearish.
XRP Price Prediction – How Low Could XRP Go?
Given the recent market signals, analysts are predicting that the XRP price could face further downside. If XRP fails to hold above $2, the next key support level is at $1.8.
XRP/USD 4-hours chart - TradingView
Here’s the bearish scenario:
- Break Below $2.4 – If XRP continues to trade below $2.4, it increases the chances of a retest of $2.1 to $2.
- Test of $2 – If this support fails, XRP is likely to fall to $1.8, which is the next major support level.
- Bitcoin Influence – If Bitcoin crashes below $100K, XRP could drop quickly, especially if panic selling begins.
On the flip side, if XRP can reclaim the SMA 21 and Bitcoin breaks $104K, XRP may regain momentum and push higher. towards the previous ATH of $2.8.
