NewsletterIs XRP Price at Risk of Losing $2?
Highlights
- XRP price has crashed 22% since May 14 but is up 2.35% today, trading around $2.13.
- XRP appears to be in a favorable position for a recovery bounce, but the short-term outlook remains uncertain.
- A potential retest or sweep of the $2 psychological level could be a good opportunity for opening long positions.
After a 22% crash since its May 13 swing high of $2.62, XRP price trades around $2.13. Despite the recent drop, as of June 6, the token is up 2.35% today. But can this recovery rally sustain? Will XRP price hold the $2 psychological level or lose it?
Based on the 12-hour XRP price chart, the token appears to be in a favorable position for a recovery bounce. However, the short-term outlook remains uncertain due to Bitcoin’s position and fast-paced changes in policies from President Trump.
XRP Price Analysis: Will $2 Hold?
Since December 3, 2024, XRP has been stuck in a tight range, building value. Typically, when this happens, volatility drops until the price breaks out violently. In XRP’s case, 70% of the volume over the past 185 days was traded between $2.06 and $2.58. The rejection at the $2.58 led to a retest of the $2.06.
A show of strength in the Asian session has allowed Bitcoin to recover a portion of its losses from last night. As a result, XRP price has also triggered a 2.35% bounce from yesterday’s lowest point of $2.05. If BTC continues to climb higher, there is a good chance that Ripple’s token will follow suit.
However, investors must prepare for the possibility of a potential retest or sweep of the $2 psychological level. If such an outlook develops, it would be good for opening long positions, especially if accompanied by large liquidation spikes. This move could also knock the Relative Strength Index (RSI) into the oversold level and potentially develop a bullish divergence in the near future. This signal could also be spotted for the Awesome Oscillator (AO) index as well. Moreover, the Bollinger Bands Width indicator is showing a steady decline, reflecting that the ongoing consolidation is tightening and could be primed for an explosive breakout.
Investors should note that a breakdown of the $2 psychological level would be unlikely, considering the current crypto market outlook.
While technical indicators suggest that the breakdown of the $2 psychological level is unlikely, investors must still prepare for this scenario. In case Bitcoin gets hammered, pushing it below the $100K level, it could cause altcoins, including XRP price, to drop lower. In such a case, the $2 level could come undone, catalyzing a correction to the $1.87 and $1,56 support levels. A previous CoinGape forecast notes a bearish scenario with a potential 19% XRP crash to $1.71.
For June 2025 XRP price prediction: Read This
Frequently Asked Questions (FAQs)
1. Can XRP hold the $2 psychological level?
2. What could trigger a correction in XRP price?
3. What are the potential support levels for XRP?
- BlackRock’s BUIDL Launches on BNB Chain as Binance Approves It for Collateral
- Fed’s Jeff Schmid Flags Inflation Risk as Hopes of December Rate Cut Fade
- Whales and Institutions Bet Big On Bitcoin And Ethereum Despite Market Dip
- Breaking: Michael Saylor Debunks Rumor of Strategy Selling Bitcoin Amid Crypto Market Crash
- Peter Brandt Warns Bitcoin Could Dip Below Strategy’s Average Purchase Price as MSTR’s mNAV Falls
- Bitcoin Price Pattern Points to a Crash to $62k as Fed Cut Odds Fall to 54%
- Zcash Price Defies Market Crash: Will Shrinking Exchange Netflows Keep ZEC Rallying?
- XRP, DOGE & ADA Price Outlook: How Low Can These Altcoins Drop Next?
- Ethereum Price Sheds 10% but Lands on the $3,150 Accumulation Base — Is a Buy-the-Dip Bounce Ahead?
- Is Shiba Inu Price Set for Recovery Amid Partnership with Unity Nodes to Expand SHIB Utility?
- Top 3 Reasons Pi Network Price May Surge Despite the Incoming Token Unlock
Why Trust CoinGape
CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.
Premium Partners
