XRP needs to stay above this key level to avoid further declines

Ripple has experienced another sharp decline, breaking below the critical 100-day moving average of $0.53.

This breakdown highlights the bearish outlook for the asset, with the price likely to continue its downward trend after a period of temporary consolidation.

XRP analysis

By Shayan

The daily chart

A closer look at the daily chart shows that Ripple was facing significant selling pressure, leading to a break below the crucial 100-day moving average at $0.53. A breach of the 100- and 200-day moving averages indicates a strong bearish signal, asserting the dominance of the sellers in the market. Ripple is pulling back towards the broken MA, trying to complete a pullback.

If the sellers regain control at this level, XRP is expected to continue its downtrend towards the $0.48 support zone. A consolidation phase is forecast between the $0.48 support and $0.54 resistance in the medium term.

The 4 hour chart

In the 4-hour period, Ripple has broken below the lower boundary of a descending wedge pattern, highlighting the prevailing bearish sentiment. The price is now trying to return to the broken trend line, which could confirm the breakout.

Simultaneously, XRP has reached a critical support zone defined by Fibonacci retracement levels from 0.5 ($0.52) to 0.618 ($0.48), where demand may emerge and temporarily halt the decline.

Ripple is trading within a narrow range, bounded by the 0.5 Fib level and the lower trend line of the broken wedge. A break of this range will determine the next move in the short term.

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