XRP Faces Brutal Rejection at Key Supply Zone—Here’s Where the Knife Falls Next
XRP bulls just got sucker-punched. After a failed breakout attempt at a critical resistance level, the token nosedived—leaving traders scrambling for the next support floor.
Supply zones don’t lie. When XRP got rejected at $0.55—a level that’s acted as a brick wall since March—it triggered a cascade of stop-losses. The result? A 12% drop in under 24 hours.
Where’s the bottom? Charts point to $0.48 as the next make-or-break level. If that fails, prepare for a retest of January’s lows. Meanwhile, Bitcoin maximalists are smugly sipping coffee—because nothing screams ’healthy market’ like altcoins bleeding out.
Turning Bearish At The Supply Zone
A crypto analyst, Frank, on the TradingView website revealed the supply zone where the XRP price was rejected from. This supply zone was at $2.27, and the bears pushed down the price back below $2.2 from here. However, this singular rejection from this zone is not the only cause for concern.
As the analyst points out, there are also repeated rejections that are now forming a lower high setup amid distribution. “This LuxAlgo-visible range marks a clear area of institutional interest and possible distribution,” the post reads. In this case, it suggests that the XRP price still has a long way to go downwards.
Some of the major things that the crypto analyst points out include the fact that in addition to the rejection candles that are already forming on the supply zones, there is also the lower high formations that suggest bears are gaining control. Furthermore, with different important news events expected from the United States between May 5 and 9, there is expected to be more volatility for the XRP price as the broader crypto market begins to respond.
Targets For The XRP Price
With the bearish headwinds dominating the XRP price, there are a number of targets that have been suggested by the crypto analyst. The first major target if the altcoin were to lose the $2 support level is $1.95. This is supposed to serve as the key level for a bounce, or for a breakdown in price if bears continue to dominate.
Below this support level it the next demand zones. These lie at $1.60 and $1.69, meaning that a break below $1.95 would be caught at this level. This is where the analyst sees high volume nodes due to previous reversals.
Nevertheless, there is still a chance for the bulls to actually turn the tide in their favor once again. The most important thing would be to push the XRP price back above the supply zone which triggered the rejection in the first place, which is $2.27. A break above here would be confirmation of an upward continuation, especially if volume begins to spikes and there is a shift in momentum, as the crypto analyst explains.
