Key Insights:
- XRP has declined below a head and shoulders pattern and it may drop to $1.30.
- Paul Atkins’ nomination to the SEC provided a bullish sentiment, which saw XRP move past $2.00 for a while.
- Coinbase’s XRP futures filing and ETF speculation could fuel a reversal despite bearish signs.
XRP price action has taken a critical turn, breaking below a head-and-shoulders pattern that suggests further downside. The token’s decline follows months of regulatory uncertainty, bearish market sentiment, and shifting investor outlook. However, Paul Atkins’ SEC nomination temporarily pushed XRP above $2.00, offering a short-lived bullish catalyst. Coinbase’s XRP futures filing and ongoing ETF speculation also provide potential upside, but strong resistance remains.
XRP Price Breaks Key Support
XRP’s price structure has formed a classic head-and-shoulders pattern—typically a bearish formation that signals a trend reversal. Crypto analyst Ali Martinez highlighted this setup, warning that XRP could fall to $1.30 if the breakdown holds. The pattern has now confirmed with a completed right shoulder and a neckline breach, reinforcing a bearish outlook.
Current trading data reflects this downside pressure, with XRP price struggling to hold above $1.90 after slipping below key moving averages. The MACD indicator remains in negative territory, confirming weakening bullish momentum, while the RSI nears oversold conditions, showing limited buying strength. If sellers push XRP below $1.75, the next major support level sits near $1.50, and extended selling could test the projected $1.30 target.
Paul Atkins’ SEC Nomination Sparks Temporary XRP Rally
Despite technical weakness, XRP saw a brief surge after Paul Atkins’ nomination for SEC Chair advanced in the US Senate Banking Committee. The committee’s 13-11 vote in favor of Atkins introduced optimism among crypto investors, as he is viewed as more favorable toward blockchain regulations.
Analysts believe his potential confirmation could shift the SEC’s approach to crypto-friendly policies, impacting XRP’s regulatory stance.
As a result, XRP price increased above $2.00 to reach a psychological level, only to dip again shortly after. However, Senator Elizabeth Warren and other critics have refused to support Atkins’ nomination claiming that he has previously supported deregulation and is linked to FTX. However, its confirmation is still ambiguous as far as the market is concerned.
XRP Price Prediction and Market Outlook
Crypto analyst CryptoWZRD suggested that XRP price could regain bullish momentum if market conditions align. According to his analysis, a recovery above $2.50 could push the token back into a symmetric triangle pattern, potentially leading to a breakout toward $2.80 and, later, $3.65. However, this scenario relies on key technical and fundamental factors, including regulatory clarity and renewed investor confidence.
CryptoWZRD cautions that XRP must hold above $2.20 to shift sentiment. The token remains range-bound for now, with traders awaiting updates from both technical and regulatory fronts.
Key Levels to Watch Amid Market Uncertainty
XRP’s trend hangs in the balance, with critical support between $1.75–$1.80. A break lower opens room to $1.50–$1.30. On the upside, XRP price must reclaim and hold $2.00 and then $2.20 to signal a bullish reversal.
MACD remains slightly bearish, and RSI continues to linger below neutral. The market’s next move could hinge on SEC developments, Coinbase’s XRP futures product, and ETF-related catalysts.
At press time, XRP trades at $2.12, with 24-hour volume rising 4% to $5.14 billion. The market cap now stands at $122.54 billion.
Disclaimer
In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
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