XRP Price Prediction: a 42% Crash, But Support Level Will Breakdown?
2025-10-12
XRP has faced one of its most volatile weeks, plunging over 40% after global macro pressure shook financial markets. The sharp decline was triggered by U.S. trade tensions and heightened risk aversion, wiping out weeks of consolidation.
As XRP trades near critical support, traders are now watching whether bulls can stabilise price action or if further downside remains likely. In this XRP price prediction, we assess major chart levels, technical indicators, and potential recovery scenarios to evaluate risk in the current market environment.
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XRP Price Overview: Macro Shock Meets Market Fear
Impact of the Global Sell-Off
- A 100% tariff announcement on Chinese imports caused panic across global markets.
- Risk assets sold off aggressively, affecting both equities and cryptocurrencies.
- Bitcoin, Ethereum, and BNB all suffered significant drawdowns, dragging XRP lower.
- XRP’s decline was intensified by high leveraged liquidations and speculative exits.
Investor Sentiment Turns Defensive
- Volatility remains elevated, signalling ongoing uncertainty.
- Institutional flows have paused, awaiting macro stabilisation.
- Retail traders are seeking clarity before re-entering positions.
- Fear-driven selling has transitioned into price discovery near support zones.
Technical Analysis: Key Levels Defining XRP’s Path
Breakdown from Symmetrical Triangle
- XRP broke below a multi-month symmetrical triangle pattern.
- The breach confirmed bearish momentum after repeated failures near $2.80.
- A bearish engulfing candle reinforced trend reversal signals.
- Price now remains below the 100-day SMA, indicating short-term weakness.
Immediate Support Levels
- $2.30 – Primary defence zone for bulls.
- $2.02 – Critical Fibonacci support and potential rebound point.
- $1.77 – Historical accumulation zone, last resort for buyers.
Technical Indicators
- RSI at 35, signalling oversold territory but no divergence.
- Volume remains elevated, showing active selling pressure.
- Long lower wicks suggest buyer interest, but conviction is weak.
Short-Term XRP Price Prediction: Relief or Further Decline?
Scenario 1: Minor Relief Rally
- A bounce above $2.30 could trigger a move to $2.70–$2.80.
- Bears are likely to defend the breakdown zone at the lower triangle edge.
- Any rally without strong volume may fail to sustain momentum.
Scenario 2: Breakdown Continues
- A daily close below $2.30 opens the path to $2.02.
- Breach of $2.02 may extend selling into the $1.77 range.
- Macro risks and negative sentiment increase downside probability.
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Long-Term Outlook: Neutral to Cautious
- Structural uptrend remains intact on higher timeframes.
- Regulatory clarity and institutional adoption remain long-term drivers.
- However, macro instability and liquidity risk may cap near-term growth.
- Recovery toward $3.18–$3.60 is possible only if support holds and risk appetite improves.
Conclusion: XRP at a Crossroads
XRP’s recent 42% crash highlights the growing influence of macro events on digital assets. While oversold conditions hint at potential stabilization, the inability to reclaim $2.30 support could invite further decline.
Traders should remain cautious, focusing on confirmed support reactions and volume-based recoveries. Interested in trading XRP or exploring market insights? Visit Bitrue Exchange for real-time trading or read market updates on Bitrue Blog.
FAQ
What caused the recent XRP crash?
The drop followed global risk-off sentiment triggered by geopolitical trade shocks.
Is XRP still in a long-term uptrend?
Yes, but short-term momentum remains bearish until key resistance is reclaimed.
Where is the strongest support for XRP?
The $2.02 and $1.77 zones are major support levels for potential reversal.
Can XRP recover to previous highs?
A recovery is possible but depends on market sentiment and macro stability.
Should traders consider XRP now?
High caution is advised—wait for confirmed support and reversal signals.
Disclaimer: The content of this article does not constitute financial or investment advice.
