Late on Monday, XRP saw a sharp drop of more than 4% as a lot of trading volume came in. The token briefly touched $3.08, but then quickly lost ground and fell below the important $3 mark. Traders are looking at $2.93 as a new support floor, so caution is once again taking over the charts.
XRP went down 4.2% in 24 hours, from $3.08 to $2.93, as trading volume rose above 169 million. The sharp turn confirmed that $3.04 was a key resistance level, and bearish momentum grew. If the price doesn’t quickly bounce back above $3.00, it could go down further to $2.87 or lower.
Why is $3.04 acting as a strong barrier right now?
XRP hit an intraday high of $3.08, but then quickly turned around and fell to $2.93 during a session with a lot of selling pressure. At 14:00, the coin dropped from $3.04 to $2.97 as the volume shot up to 169.41 million, which is three times its normal level. That volume flush made $3.04 a new line of resistance.
Traders saw this as a clear sign that bullish momentum was slowing down, especially since XRP couldn’t stay above $3.00. The failed breakout attempt is making bearish control stronger on shorter time frames.
Can $2.93 hold as support?
XRP is now trading in a narrow range between $2.96 and $2.97, and $2.93 has become an important local support level. It’s the level where buyers have come in before, but the last hour of trading showed that sellers weren’t done yet. Prices fell even more after a late candle with a volume of 1.6 million at 02:11.
If $2.93 breaks, technicals say it will go down more, with $2.87 and $2.80 being the next likely supports. To get back in charge, bulls need to get back above $3.00 and stay there.
What are traders looking for next?
Traders are keeping a close eye on momentum indicators because they are showing signs of bullish divergence or volume tapering. If the price goes back up to $3.00 and the volume on the sell side goes down, it could be a sign of a short-term bounce. But for now, the general risk-off mood and uncertainty about the economy are keeping upward moves in check.
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