XRP has been trading lower over the past 48 hours gradually withdraw $2, after the rally failed to sustain above $2.10 at the start of the week. Sales pressure has largely been checked previously then aggressive, but any attempt to move higher met local trendline resistance around $2,165.
Technical analysis shared by crypto analyst CasiTrades outlines a key macro support level that could determine whether XRP can stabilize and attempt a new bullish recovery or enter a new bearish corrective phase below $2.
XRP is defending a key macro support zone around $2.03
According to to CasiTrades analysis, XRP is still defending the macro 0.5 Fibonacci retracement level, which is around $2.03 and has acted as a key structural support on the chart. This is visible in the recent price action as the cryptocurrency is currently trading at $2.04 after recovering from a low of $1.99 in the past 24 hours.
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The analyst noted that XRP recently reacted strongly from this level, demonstrating its importance as a demand zone. The accompanying chart shows price returning to this region repeatedly, with buyers stepping in to prevent a continued collapse.
Although XRP briefly fell below the Fib level of 0.5, this move had no follow-up. Most importantly, the XRP price did not lose the $1.97 level, which CasiTrades identified as the threshold that would confirm a deeper bearish scenario. As long as XRP trades above this zone, the analyst suggests that the price is taking action still has a chance to increase instead of heading lower towards other downside targets.
Clearly defined bullish and bearish scenarios
The analysis outlines two different paths forwardand both depend on how XRP reacts to the macro support level at $1.97. On the bullish side, a position above $1.97 leaves the door open for a continuation higher. As long as $1.97 holds, the deeper retracement scenario will not be confirmed.
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From here we can see that XRP continues to move bullishly, but only a decisive break above the macro resistance near $2.41 would serve as confirmation of a stronger upside structure. If that level is reached, the next projections are in the range of $2.75 to $2.90, as shown in the purple bullish scenario in the chart above.
On the other hand, a loss of $1.97 would invalidate the current support structure and shift focus to the macro-0.618 retracement around $1.64. The chart shows this as the pink scenario and $1.64 as another key support level that could play a role in halting the increasing selling pressure.
There has been no official confirmation in either direction, leaving XRP at a key point where maintaining macro support is the key requirement for any meaningful revival attempt.
Featured image from Adobe Stock, chart from Tradingview.com