Ripple (XRP) Price at Risk: Bearish Patterns Emerge as XRP Loses Momentum

Recent shifts in XRP price action are sending a clear warning. After attempting to break toward the $2.30 region, Ripple (XRP) failed to maintain its gains and is now showing signs of weakness. As the price hovers slightly above the $2.00 mark, a critical psychological level, momentum appears to be fading rapidly.

Looking at the 1-day chart posted by Ali charts, XRP has been operating within a downward sloping channel for several months. Each attempt to break higher was met with rejection. The latest bounce stalled around $2.26, a key Fibonacci level, and price pulled back sharply.

This area is proving to be strong resistance, with traders becoming increasingly cautious.

As highlighted by Ali, a well-known analyst from Ali Charts, XRP is currently caught between $2.00 and $2.26. According to him, a decisive close outside of this range could be the catalyst for the next major move. Right now, the signs are leaning more toward the downside.

Chart Patterns Confirm Bearish Bias

On the 3-day chart, things become even more interesting. A bearish engulfing candle has just formed, falling completely below the $2.26 resistance zone. This type of pattern typically signals a trend reversal, especially when it appears after a short rally.

The most recent candle didn’t just pull back but completely absorbed the previous one, closing around $2.10 and wiping out all bullish momentum.

What makes this more alarming is that it follows a failed breakout attempt. The previous candle had a long upper wick, showing buyers tried to push higher but were overpowered by selling pressure before the close. This kind of rejection is often followed by further downside.

Ali also notes that the TD Sequential indicator has flashed a sell signal on the 3-day timeframe. This adds another layer to the bearish analysis and suggests that XRP could be due for a deeper retracement.

How Low Can XRP Price Go?

If XRP loses the $2.00 support, it could be in trouble. This level has held multiple times before, but each test lessens its strength. A breakdown from here could drag Ripple price toward $1.95, where minor support might kick in.

If that level fails as well, the next zones to watch are $1.80 and $1.61, both of which align with Fibonacci extension targets from the broader trend structure.

At the same time, traders will want to keep an eye on the $2.26 resistance. If bulls manage to push price back above it and manage to hold, the bearish outlook would need to be reconsidered. But unless that happens soon, the overall trend remains down, and sellers appear to have the upper hand for now.