The post XRP Faces Critical Test as Bearish Divergence Signals $2 Retest—What Can Bulls Do? appeared on BitcoinEthereumNews.com.
XRP has recently shown signs of weakness after a strong rally that saw its price soar from $0.50 to a multi-year high of $3.40. Can Ripple XRP Bulls hold the line? After reaching this peak, XRP has experienced significant volatility, currently trading around $2.50. A bearish divergence forming on both daily and weekly charts suggests a potential pullback, with analysts warning of a possible retest of the $2 support level. The XRP price already dived below the $2 critical support on February 3. Source: Xavier Sterling via X The cryptocurrency recorded a high of $3.03 in January, marking its highest monthly close in years. However, a sharp correction followed, dragging the price down to $1.78 before bouncing back. Now, with technical indicators pointing toward a loss of bullish momentum, XRP could be at risk of another downturn unless buyers step in at critical levels. The 2025 price predictions for Ripple’s XRP had been bullish, but now the tide is turning. Bearish Divergence Signals a Potential Downturn Among the main points of concern for XRP investors is the formation of a bearish divergence—when the price is making higher highs while the RSI forms lower highs, which presumes weakened buying pressure and a high chance of a price correction. XRP’s bearish divergence setup puts the price at risk of breaking below the $2 support. Source: TheTraderEdge on TradingView Meanwhile, the overbought levels have been reading lower on both the daily and weekly charts, which indicated a probably weakening rally. Divergences set up ground for pullbacks to go as high as 23% down from the current prices, according to some analysts’ predictions from a historical perspective. The continuation of bearish trends should see XRP revisit the $2 mark—an area that proved to be one of the strong support zones for the digital asset.…