XRP is trading near $2 as a bearish ribbon EMA move returns. Analysts warn of a possible drop as whales are active and ETF inflows continue to rise.
XRP is trading near $2 after a week of price pressure and mixed technical signals. The token saw a slight drop of over 1% in the last 24 hours and fell 4% last week. During recent trading, it touched $1.95 before bouncing slightly, forming a short-term support range between $1.95 and $2.05.
Historical Bearish Pattern Returns
Market analyst Steph Is Crypto has shared a recurring pattern on the 3-day chart of XRP. According to the analysis, whenever the ribbon EMA changes to a bearish configuration and the price remains below, the asset has entered a long descending phase. Past declines have ranged from 27% to 66%, and have often lasted several months. The signal has occurred several times over the years, including notable drops in 2014, 2019, and 2022.
XRP once again moved below the ribbon EMA, triggering the same setup. According to the chart, the tape has turned bearish and the price has yet to recover it. If the pattern holds, XRP may face another prolonged period of decline.
“So far this signal has no exceptions,” said the analyst.
CRYPTOWZRD shared an update to the XRP daily chart and noted that the last daily candle closed slightly lower. The weekly chart remains indecisive. The $2.1 level now acts as short-term resistance. A clear break above this could change the momentum. If the price falls to this level, it may invite more selling.
On the intraday chart, XRP has shown signs of retracement after the recent volatility. A move to $2.1 followed by weakness could trigger short setups. If the price sustains above this level, the structure may begin to shift towards a more bullish stance.
Lateral Range Supports Structure
ChartNerd posted that XRP remains within a 13-month trading range, extending from just under $2 to a resistance zone slightly above $3.00. The asset is currently close to the lower limit, but has not broken this limit.
There are no changes to the broader structure as long as XRP remains within this range. The recent move is part of a prolonged sideways phase and the market has yet to commit to a clear direction.
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Meanwhile, Ali Martínez also pointed out a TD Sequential buy signal on XRP, but warned:
“It’s all about $1.90. Keep it that way and $2.50 comes into play.”
Whales active as ETF demand rises
As CryptoPotato As reported, the data shows increased trading activity from large accounts, even as XRP trades near yearly lows. The firm noted a shift in volume demand from buyers, which it said is common during bottom periods.
Additionally, US-listed XRP spot ETFs have garnered continued interest. Since launching on November 13, they have recorded 30 days of net inflows. SoSoValue reports total net assets at around $1.18 billion, with approximately $991 million in net inflows. These funds continue to grow, even as other crypto ETFs report outflows.
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