- XRP pulls back after a strong monthly rally, with attention now turning to the critical $2.75 support zone.
- Analysts eye potential reversal, as price nears a psychological and technical floor amid cooling momentum indicators.
- Market cap and technicals remain bullish, but RSI and MACD suggest short-term consolidation may occur before the next move.
XRP sees a small pullback from a solid monthly rally, with analysts monitoring a significant support area to reverse. At the time of writing, XRP is trading at $3.14, following a 4.51% drop over the last 24 hours. Even with the pullback recently, XRP has climbed by more than 43.83% in the past month.
Solidifying its position as one of the stronger performers in the current crypto rebound. With a 24-hour trading volume of $12.20 billion and a market capitalization of $185.98 billion, XRP remains a key asset under investor scrutiny.
XRP Price Pulls Back, Support Zone Approaches
Crypto analyst More Crypto Online commented on the ongoing correction, noting that XRP’s price nears the lower half of the support range. The commentator identified the area around $2.75 as the next target, where a reversal could begin to materialize. This area continues to be a significant psychological and technical support area where buying demand could be found.
Though the short-term sentiment has faded, technical analysts are watching intently for a sign that a local bottom might be forming. If the coin settles around $2.75 and retains the position, it could be a prelude to a new ascent. In the meantime, volatility should be expected, with traders looking for a trend reversal to be officially verified.
Also Read | XRP Price Eyes Breakout Toward $4.80 as Bullish Momentum Builds
XRP Market Cap Shows Bullish Momentum, Eyes Further Upside
The market capitalization chart of XRP shows a very bullish breakout during July, overcoming previous resistance areas. The price action jumped well above the higher Bollinger Band, indicating very high volatility and extreme bullish pressure. It has, however, pulled back a bit and stabilized above significant areas of support.
RSI recently touched an overbought reading of around $73 and is now cooling off, around $58. That likely indicates that the recent rally could slow or might even see a small correction before further upside. Even with the RSI pullback, it is above $50, maintaining the bullish edge.
The MACD indicators continue to be bullish, but a bearish crossover could be developing since the MACD line begins to converge with the signal line. If so, then a short-term weakness or distribution could be developing. In general, the coin still shows strong momentum but could require some stabilization to break higher.
Also Read | XRP Price Analysis: Can Bulls Break $3.60 Resistance?
