XRP Price Targets $2.40: Will Bulls Break Through Key Resistance?

After finding support near the $1.90 mark, XRP is attempting to reverse its recent downward trajectory. The cryptocurrency has shown resilience, climbing past several critical levels, and is now positioning itself for a potential move above $2.35. However, the bulls face formidable resistance, and the next few moves will be crucial in determining whether XRP can sustain its recovery.

A Look at Recent Price Action

XRP's journey has been turbulent, with the price dipping below key levels like $2.25 and $2.05 amid a broader market downturn. The sell-off pushed the cryptocurrency to a low of $1.898, marking a critical support level that prompted a rebound.

Since then, XRP has managed to climb above $2.20, reclaiming lost ground as buyers stepped in. The price action also saw a break above a bearish trend line near $2.22, signaling a shift in momentum. Notably, the recovery retraced over 61.8% of the decline from the $2.64 swing high to the $1.898 low.

However, XRP is now trading below the 100-hourly Simple Moving Average (SMA) and faces resistance near $2.36. This area has become a critical zone that the bulls must overcome to sustain the upward momentum.

Key Resistance Zones to Watch

The path to recovery is met with several hurdles:

Immediate Resistance at $2.36: This level is the first major barrier for XRP, and a clear move above it could open the door for further gains.

Critical Resistance at $2.40: A convergence point with the 100-hourly SMA, this zone represents a significant challenge.

Potential Upside Targets Beyond $2.40:

• A break above $2.40 could propel XRP toward $2.475, which marks the next resistance level.
• Beyond that, targets include $2.55 and $2.65, levels that could indicate a stronger bullish trend.
• The $2.88 level stands as an ambitious target, representing a significant milestone in XRP's recovery efforts.

Downside Risks and Support Levels

If XRP fails to clear the $2.36 resistance, it risks another decline. Initial support lies near $2.15, with the $2.05 level serving as a critical threshold. A breach below $2.05 could trigger further losses, potentially dragging XRP toward $1.88 or even $1.75.

Technical Indicators and Market Sentiment

MACD: While the Moving Average Convergence Divergence (MACD) indicator remains in the bullish zone, it shows signs of slowing momentum, hinting at a possible pause in the recovery.

RSI: The Relative Strength Index (RSI) is above the 50 level, indicating moderate bullish strength but not yet overbought conditions.

The Road Ahead

XRP’s recent recovery demonstrates resilience, but the battle against resistance zones at $2.36 and $2.40 will be decisive. A breakout above these levels could spark a rally toward $2.55 and beyond, offering bullish traders renewed confidence. However, failure to overcome these barriers may invite further selling pressure, with critical support zones at $2.15 and $2.05 coming into play.

The market sentiment around XRP remains cautious, with traders eyeing both technical indicators and broader market trends to gauge the next move. For now, XRP’s ability to break through resistance will determine whether its recovery evolves into a sustained bullish trend or faces another setback.

Read more about XRP: 

How to buy XRP (XRP)

XRP (XRP) Price Today

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FAQs 

Why is the $2.40 resistance level significant for XRP?
The $2.40 resistance level is crucial as it coincides with the 100-hourly Simple Moving Average (SMA), a key technical indicator often used to gauge trend direction. Breaking this level could signal strong bullish momentum and pave the way for further gains toward higher targets like $2.55 and $2.65.

What are the risks if XRP fails to break above $2.40?
If XRP fails to clear the $2.40 resistance, it could face renewed selling pressure. Support levels at $2.15 and $2.05 will become critical in preventing further declines. A breach below these levels might push the price back toward $1.88 or even $1.75.

What technical indicators should traders watch during this recovery?
Traders should monitor the MACD for signs of bullish or bearish momentum and the RSI to assess whether XRP is nearing overbought or oversold conditions. Additionally, the interaction with the 100-hourly SMA near $2.40 will provide insights into the strength of the recovery trend.

 

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