- XRP must stay above $1.20 to maintain bullish momentum, or risk a bearish trend if support is lost.
- A head-and-shoulders pattern suggests $2 is a key support level that bulls must defend to keep the uptrend alive.
- Upcoming weeks are crucial as XRP battles between a breakout and a potential deeper correction.
XRP is currently in a crucial phase of the market cycle because major levels are defining the direction of its price action. In a recent X post, More Crypto Online suggested that $1.20 is a critical point that triggers the bullish run of XRP. If the price is still above this level, then another high of this cycle is anticipated. But this signals that the support level can be lost and could be the start of a bearish run.
Will Bulls Hold Strong?
Although the near-term outlook is bullish, it is necessary to be prepared for some drawback before XRP will be ready for a massive move. The market trend may remain fluctuating in the short term and may not give indications of a specific trend. XRP needs to maintain its position above $1.20, and further downward momentum could put it into a longer bearish run.
Ali Maeteniz revealed that formation of the head and shoulder pattern on the weekly chart of Ripple’s XRP. As for the levels of support, the $2 price level is marked as the critical level that needs to be held by bulls to preserve the bullish trend. If the XRP price holds above this level, it would likely encourage investors to increase their holdings with more buys to drive up the price higher.
XRP’s Critical Turning Point
Thus, failing to hold the indicated levels may change the trend toward a bearish one. Any price broke below this support level may trigger incoming selling pressure and drag the price of coin to such levels. On the flip side, if bulls stand their ground on $1.20, the digital asset may stagnate as it tries to continue with an upward trajectory.
The critical period for the token will be the following weeks, as its price will define its performance against the support levels. Since there seems to be no clear trend, it is advisable for investors to watch the price movement very carefully. This scenario could help to catalyse a bullish impulse, and a break below the levels may cause more carefulness among the parties. As of press time, the Ripple token is trading at $2.34, showing a 0.95% decline over the past day.
Source: TradingView
For now, XRP remains in the middle-ground, whereby both bulls and bears are fighting to gain control of the coin. If these levels remain unbroken, the digital asset could yet again see another leg up in this cycle. However, the failure of this support level enables a deeper breakdown, and therefore, the next few trading sessions will define the direction of cryptocurrency.