XRP’s upward momentum took a hit as the price failed to regain its previous high of $2.9, triggering a fresh decline and the price falling towards the previous support level. This rejection raises questions about the strength of the bulls and whether they can regain control to push prices back to higher levels.
Bearish development on 4-hour time frame
With bearish pressure mounting, the focus has shifted to key support zones and whether the bulls can hold firm against the downside move and prevent a major correction in XRP.
On the 4-hour chart, XRP is showing negative sentiment and is trending down towards the $1.9 support level and is trying to break below the 100-day simple moving average (SMA). Specifically, a continued decline to this support suggests that selling pressure is increasing, and the asset could fall further if the support fails to hold.
Analysis of the 4-hour chart also reveals that the trend line of the Composite Trend Oscillator is below the SMA line, indicating a possible change in momentum as it approaches the zero line. This indicates that it is struggling to maintain its upward movement and indicates moderate bearish pressure, leading to cautious market sentiment. If the signal line continues to fall, selling activity may increase.
XRP price set in 1 day time frame
On the daily chart, the crypto giant is showing a significant downtrend, highlighted by a bearish candlestick after a failed recovery attempt to surge towards its previous high of $2.9. Masu. Failure to sustain an uptrend means a lack of buyer confidence and widespread pessimism in the market. As XRP heads toward the $1.9 support level, pressure from sellers could increase, raising concerns about a possible breakout.
Finally, the 1-day Composite Trend Oscillator shows increasing bearish momentum, with the indicator's signal line staying in the overbought zone before moving below the SMA. This development signals a possible change in market dynamics as overbought conditions may give way to increased selling pressure. A signal line crossover below the SMA is often interpreted as a bearish signal, indicating that upward momentum may be weakening.
Related article: XRP price stabilizes above support: ready for the next move?
After all, key support levels will be important in determining the next move as XRP faces new negative pressure. Meanwhile, the first level to watch is $1.9, which could act as an initial buffer against further declines. A sustained break below this level could open the door for further decline to $1.7, which would be a historically significant move. If the bearish momentum continues, the $1.3 mark could be the last line of defense before a broader decline occurs.
