XRPUSD has been trading within a well-defined downward channel since early March, with the digital asset continuing to show bearish momentum as price approaches the $1.80 level.
The most recent sharp decline has brought XRPUSD closer to testing the lower boundary of this channel, suggesting a potential breakdown or bounce in the immediate future.
The chart displays a clear downward channel formation with both upper and lower boundaries respected across multiple touches over the past month. Price action has been consistently making lower highs and lower lows, confirming the bearish trend structure. The recent drop below $2.00 represents a significant psychological support breach that could accelerate selling pressure.
Key XRPUSD Levels to Watch
Current key support levels:
- $1.80: Immediate support at lower channel boundary
- $1.75: Previous structural support from early March
- $1.50: Major psychological support level
Resistance levels to watch:
- $2.00: Psychological resistance and recent breakdown point
- $2.20: Mid-channel resistance
- $2.50: Upper channel boundary and major resistance
If we apply Fibonacci retracement to the recent decline, potential rebound targets would be:
- 38.2% retracement: ~$2.08
- 50% retracement: ~$2.15
- 61.8% retracement: ~$2.22
These levels align closely with the mid-channel resistance zone, making the $2.08-$2.22 area a high-probability zone for sellers to re-enter if a relief bounce materializes.
XRPUSD Technical Analysis
Looking at the moving averages, the 100 MA and 200 MA (indicated on the chart) have been providing dynamic resistance during rally attempts. The declining slope of these moving averages suggests that momentum remains firmly to the downside, with the 100 MA positioned below the 200 MA, signaling bearish alignment.
The Stochastic oscillator (14, 3, 3) shows a recent bearish crossover from overbought territory, now rapidly declining toward oversold conditions. This indicates strengthening downside momentum, though traders should watch for potential divergences if price continues lower while the oscillator begins to flatten.
The MACD (12, 26, close) displays a bearish crossover with the blue line crossing below the orange signal line and histogram bars turning negative. This confirms the recent shift in momentum to the downside and suggests further weakness ahead.
XRPUSD Price Outlook
A daily close below the lower channel boundary at $1.80 could trigger an acceleration of selling, potentially sending XRP toward the $1.50 level. Increasing volume on breakdown candles would confirm this scenario.
On the other hand, if buyers defend the lower channel boundary, a rebound toward the mid-channel resistance around $2.20 could develop. For this scenario to gain credibility, XRP would need to reclaim the $2.00 level with conviction and show bullish divergence on oscillators.
Continuation within the channel boundaries would suggest further consolidation, with price likely to oscillate between support at $1.80 and resistance at $2.20 before the next directional move becomes clear.
XRP’s decline comes amid broader weakness in the altcoin market, with many major cryptocurrencies experiencing similar technical breakdowns. The asset’s correlation with Bitcoin remains strong, though XRP has shown relatively weaker performance in recent weeks as regulatory concerns continue to weigh on sentiment.
Traders should monitor the overall crypto market direction, as a recovery in Bitcoin could provide XRPUSD with the catalyst needed to stage a relief rally back toward the upper range of its declining channel.
