The price of XRP started February with new price losses, breaking through important support levels. According to market analyst Ali Martinez, the price threatens to drop further towards the psychological level of 1 dollar if the current downward trend continues.
Technical analysis paints a worrying picture
Martinez shared his analysis on February 1 via X. In it, he showed how the weekly chart of XRP shows a continued downward trend. After the failed break above the $3.40 area earlier in the cycle, a series of lower highs and bottoms were left behind.
The price recently fell below the important zone around $ 1.86. This area previously functioned as a consolidation zone and its loss confirms, according to Martinez, that the upward structure has further eroded.
Resistance at $1.86 holds
The level around $1.86, which previously served as support, has now turned into strong resistance. Several failed attempts to break into this area indicate that sellers continue to have the upper hand here. As long as XRP remains below this limit, any rebound will remain fragile and susceptible to new waves of selling.
According to Martinez, this is the key level that must be broken to regain upward momentum.
Major support levels in sight
The next major support is around $1.38. This price level previously served as a springboard for temporary recovery movements. However, if XRP closes below that on a weekly basis, the chance of an accelerated decline increases significantly.
Below that there is one more critical zone around $1.02. This is close to the psychological limit of 1 dollar and serves as the last point of defense before the price can slide into unknown bearish territory.
Negative sentiment on the crypto market is weighing on XRP
The weak price development of XRP coincides with broader unrest in the crypto market. Bitcoin (BTC) also fell below the $75,000 mark.
Investors are concerned about macroeconomic uncertainty, a partial government shutdown in the US, geopolitical tensions, and continued high interest rate expectations. Risky assets are also exchanged for safer alternatives.
Source: https://newsbit.nl/crypto-analist-slaat-alarm-xrp-koers-kan-richting-1-dollar-kelderen/
