Crypto price prediction: XRP faces pullback after last week strong recovery

 Crypto analysis (XRP):

Ripple’s XRP faced a 4% drop during the early Asian trading session on Tuesday. This decline followed a 3% loss over the past 24 hours, bringing XRP below the key $2.72 level. This pullback comes after a strong recovery last week, during which the token gained 10%. Despite recent losses, traders are watching key support and resistance levels to determine XRP’s next move.

The 14-day Exponential Moving Average (EMA) near $2.55 could act as a support level and help XRP regain momentum. If the token finds support at this level, it may have a chance to climb back above $2.72. However, if XRP falls below $2.55, it could experience further losses and test the next support level at $2.24. Traders are closely monitoring these price points to assess the market’s direction.

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Technical indicators suggest that bullish momentum is weakening. The Relative Strength Index (RSI) and Stochastic Oscillator are below neutral levels and moving downward. This suggests that selling pressure is increasing, and buyers may struggle to push prices higher in the short term. If this trend continues, XRP could face additional losses.

A critical level for XRP is $1.96. If the token closes below this point on the daily chart, the bearish outlook will strengthen. This could lead to a further decline toward the $1.35 level, a significant drop from its recent highs. For now, XRP’s price action depends on whether it can hold above its key support levels or if selling pressure continues to push it lower.

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Overall, XRP is facing short-term volatility after last week’s recovery. While there is still a chance for the token to regain momentum, it needs to stay above important support levels to prevent further losses. Traders will be watching closely to see if XRP stabilizes or if bearish signals lead to a deeper correction.