XRP Alert: Crypto Analyst Sounds Alarm as Market Pulls Back – What Investors Need to Know

XRP holders brace for impact as a top crypto strategist flashes warning signals during the latest market downturn.

### Red Flags Over Rainbow Charts

The 'buy the dip' crowd might want to pause their limit orders—one analyst sees troubling signs in XRP's retracement patterns that could spell more pain ahead.

### Liquidity Hunt Turns Desperate

Whale wallets are moving like caffeinated day traders, creating volatility that could shake out weak hands before any real recovery begins. Classic crypto market psychology—where fear breeds more fear until the last paper-handed investor capitulates.

### The Institutional Wildcard

Ripple's ongoing legal saga remains the elephant in the trading room, with every court filing sending disproportionate ripples (pun intended) through XRP's order books. Because nothing says 'sound investment' like betting on an asset whose regulatory status changes more often than a DeFi protocol's APY.

Will this be another buy opportunity or the start of a deeper correction? Either way, the market's about to separate the diamond hands from the leverage-liquidated.

XRP Needs to Break Above the $3.6 Resistance

In an X post, Steph shared a video in which he analysed the XRP monthly chart, dating back to the 2020 bull run. He highlighted an upward-sloping trendline for the altcoin, which showed that the altcoin has faced rejection at around the $3.6 level twice now. The first was in January of this year, when the altcoin surged to a yearly high. 

Meanwhile, the second has occurred again following the XRP’s latest rally to a new all-time high (ATH) around this $3.6 resistance. Steph declared that the altcoin needs to break above this multi-year trendline resistance, as it risks falling into “an ugly period of downward momentum” if it can’t flip this level into support. 

However, if XRP breaks above this resistance, Steph predicts that it could record a parabolic rally, which would send its price into double digits. The crypto analyst is more confident that the altcoin will break this resistance, noting that other bullish patterns support sustained bullish momentum. 

In the short term, Steph predicts that XRP could rally to as high as $4.42. He highlighted a double bottom breakout on the 4-day chart, which is still in play for the altcoin. He assured that XRP could still maintain this upward momentum despite the current pullback in the broader crypto market. 

However, if this bearish trend in the crypto market sustains for a while, he warned that the $3 support level is the one that XRP needs to stay above to avoid losing its bullish structure. The analyst expects a lot of buying pressure if the altcoin were to drop to this support level. 

What Next As The Altcoin Retests $3

In an X post, crypto analyst CasiTrades noted that XRP was unable to hold the $3.21 resistance and has now fallen back to test the $3 support. She stated that the altcoin appears to have completed a subwave wave 2 of a new trend, reaching a DEEP .854 retrace. If this new low holds as support, then she suggested that it could kickstart a large impulse to the upside. 

CasiTrades predicts that XRP could reach new highs if volume begins to rise and the price starts moving back above the $3.21 resistance. She noted that the first wave 3 sits NEAR $3.82, which is the 2.618 Fibonacci extension. Her accompanying chart showed that the altcoin could reach $3.8 on this next run-up. 

At the time of writing, the xrp price is trading at around $3.16, up over 2% in the last 24 hours, according to data from CoinMarketCap.