Key Levels in Focus

XRP’s price is facing a decisive moment as it tests the crucial $2.00 support level on high timeframes. This retest follows a sharp rejection from the $2.72 resistance, a move that has increased bearish pressure across the market. While the recent momentum is negative, early signs of demand are emerging around this key psychological zone, raising questions about whether a local bottom is forming.

The $2.00 mark represents a critical region for buyers. A successful defense of this level is essential to prevent a continuation of the current bearish structure. So far, the price has managed consecutive candle closes above this support, suggesting that local demand is absorbing some of the selling pressure. For a bullish reversal to gain credibility, XRP needs to establish a clear bottoming pattern, which could involve forming higher lows or seeing a significant influx of buying volume.

Potential Scenarios and Price Action

As long as XRP continues to close above $2.00, the potential for a recovery remains. If buyers can build a solid base here, it could lead to a period of accumulation before a rotational move back toward the $2.72 resistance. Such a scenario would likely involve a consolidation phase as market sentiment stabilizes.

However, the short-term market structure remains bearish. A sustained close below the $2.00 support would invalidate any immediate bullish thesis and likely open the door to deeper downside targets. The next few daily closes are critical for confirmation. Traders are closely watching to see if buyers can maintain control at this level or if sellers will force a breakdown, confirming the continuation of the downtrend.

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