XRP (XRP) is down approximately 35% over the last 30 days, as US President Donald Trump’s tariff wars continue to shake the market.
XRP price remains above $2.00 at the time of writing, as several analysts highlight the importance of reclaiming $2.20 for a sustainable recovery.
XRP price trades above potential reversal level
Egrag Crypto, a crypto market analyst, highlights that XRP trades above a key support zone in the daily timeframe, as shown in the chart below.
According to the analyst, the price has dipped into the support level just below $2 (blue zone in the figure below) four to five times since December 2024, “and each time, bulls have stepped in to defend it.”
“This is a bullish signal, indicating that buy orders are stacked in this critical region.”
The analyst argues that when an asset retests a support level multiple times, it increases the chances of an “eventual breakout.”
The key levels to watch on the upside, according to Egrag Crypt, are $2.20, $2.60, $2.80 and finally, $3.10.
“Finally, a break and hold above $3.4 will signal a major shift!”
XRP/USD daily chart. Source: Egrag Crypto
However, investors should be aware of a potential breakdown if $2.20 doesn’t hold, the analyst cautions.
The 21-day exponential moving average (EMA) has produced a “bearish cross with the 100 SMA,” Egrag Crypto says, adding:
“This crossover could introduce downward pressure on XRP.”
Similar sentiments were shared by pseudonymous analyst Dark Defender, who said that key support for XRP lies between $1.88 and $1.91.
The analyst believes XRP price will rebound from here before making a run for $3.00 in the short term.
“The expected first wave will be toward $3, and our aim will be between $5 and $8, with Wave 3-5.”
Source: Dark Defender
Seller exhaustion backs XRP’s upside
Data from Cointelegraph Markets Pro and TradingView shows XRP that the price drawdown over the last month pushed the relative strength index (RSI) below 30 on both shorter- and longer-timeframe charts, indicating “oversold” conditions.
Related: Price analysis 2/26: BTC, ETH, XRP, BNB, SOL, DOGE, ADA, LINK, SUI, AVAX
The RSI heatmap from CoinGlass shows XRP’s RSI at 29, 28.7 and 29.8 on the 4-hour, 12-hour and daily timeframes, respectively.
XRP/USD four-hour chart. Source: Cointelegraph/TradingView
An oversold RSI suggests that the asset is undervalued and the sellers have become exhausted. Consequently, traders may take this as a signal to buy and load up more on the dips, leading the price to either consolidate sideways or rebound.
In XRP’s case, the price has been rising in the four-hour timeframe, recording higher lows and higher highs, as shown in the chart above.
Thus, the upward target for the short term is around $2.20, but flipping this level into support will be crucial for the bulls moving forward.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
