XRP price is struggling to reclaim the 200-day moving average, raising the probability of a potential rejection toward the $2 high time frame support if resistance continues to hold.
Summary
- XRP faces strong resistance at the 200-day moving average and $2.72 level.
- Recent bounce from $2 shows buyers defending key structural support.
- Continued rejection could extend correction before any bullish recovery.
After a volatile series of moves across the broader market, the XRP (XRP) price has failed to reclaim a critical resistance level represented by its 200-day moving average. This region remains a decisive technical barrier that has repeatedly capped bullish momentum in previous cycles.
With upcoming SEC decisions on spot XRP ETFs, investors are watching to see if approvals could reignite XRP’s weak price momentum. The latest price action reflects both structural exhaustion and uncertainty, as bulls attempt to maintain control above the $2 psychological level while bears defend the 200-day moving average near $2.72.
XRP price key technical points
- Major Resistance: 200-day moving average aligned with $2.72 high time frame resistance.
- Major Support: $2 region serving as structural support following the capitulation move.
- Market Structure: Failure to reclaim resistance confirms a potential bearish retest setup.
The current price structure in XRP highlights a textbook example of a bearish retest pattern. After testing and failing to close above the 200-day moving average, the market is showing early signs of rejection. This dynamic is significant because it demonstrates a loss of bullish continuation strength at a region that historically separates accumulation from distribution phases.
Technically, the 200-day moving average remains a key long-term trend indicator. A decisive close above it often signals sustained bullish continuation, while rejection below it frequently marks the beginning of deeper corrections. The confluence between this moving average and the $2.72 high time frame resistance further intensifies its importance.
The recent rebound from $2 indicates that buyers are still defending key structural zones. However, unless the price can reclaim $2.72 with strong volume confirmation, the risk of another leg lower remains elevated. A move back toward $2 would likely complete a broader range formation, creating a symmetrical consolidation zone between high and low time frame levels.
Such consolidation could serve as a base for a future breakout, but only after a proper retest of liquidity on both sides of the range.
What to expect in the coming price action
If XRP continues to close below the $2.72 resistance and fails to reclaim the 200-day moving average, the market could see a retracement back toward $2. This region is expected to act as strong support once again, but a failure to hold it may open the door for a deeper correction toward lower time frame levels.
Conversely, a breakout and confirmed close above $2.72 would invalidate the bearish setup and could reignite bullish momentum toward the $3 region in the medium term.
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