XRP’s price fell sharply after Judge Torres denied the SEC’s latest motion to finalize a settlement with Ripple Labs. This legal setback has fueled negative sentiment among traders and investors, increasing the likelihood of further declines.
Prior to the ruling, XRP had shown consolidated price action amid growing uncertainty. The judge’s decision triggered a strong bearish pullback and a sell-off in the market.
Amid rising concerns, some investors have entered a FOMO (fear of missing out) phase. Market analysis raises the question: will XRP recover this week or continue to fall toward lower support levels?
Technical Analysis Indicates Strong Bearish Reversal
XRP broke down from a flag pattern formed around June 22, signaling increased selling pressure. Trading volume has spiked recently after a period of consolidation between June 13 and 22, reflecting heightened volatility.
The Stochastic RSI on the 4-hour chart has dropped below the oversold threshold of 20, indicating strong bearish momentum. Meanwhile, the MACD shows a rising red histogram with the 12-day and 26-day averages converging bearish, suggesting further downside risk before a potential reversal.
Potential Support and Resistance Levels
If bearish momentum continues, XRP could retest key support at $2.08. A further slide may push the price down to $2.00 or, in an extreme downturn, to $1.91.
Conversely, a bullish rebound could see XRP testing resistance at $2.15, with a possible extension toward $2.23 later in the week.