Rejection On XRP After Taking Local Highs Into Supply. Here’s What This Means

Rejection On XRP After Taking Local Highs Into Supply. Here’s What This Means

XRP Faces Short-Term Weakness as Analyst Predicts Further Correction

Crypto analyst CrediBULL Crypto has issued an updated technical analysis on XRP, warning of potential short-term weakness against both the U.S. dollar (USD) and Ethereum (ETH). His latest insights suggest that XRP is likely to experience a price correction before resuming its broader bullish trend.

XRP/USD Analysis: Rejection from Key Supply Zone

In a recent tweet, CrediBULL Crypto pointed out that XRP/USD faced rejection after reaching a local supply zone near $2.78. His chart highlights this resistance level, where selling pressure increased, causing the price to pull back.

While a short-term bounce is possible, the analyst expects a deeper correction, projecting a potential drop to $2.20, with a more significant retracement targeting $1.77. These levels correspond to demand zones where buyers could step in to support the price.

Despite this near-term bearish outlook, CrediBULL Crypto remains bullish on the higher time frame (HTF), suggesting that this correction is part of a broader upward trend rather than a full trend reversal.

XRP/ETH Analysis: Triple Tap Pattern Signals Weakness

Analyzing the XRP/ETH trading pair, the analyst identified a "triple tap" pattern, where XRP failed three consecutive attempts to break a key resistance level. This formation is generally viewed as bearish, indicating buyer exhaustion and a higher probability of a pullback.

If XRP continues to underperform against ETH, it could indicate broader weakness across other trading pairs, reinforcing the expectation of a market-wide correction for XRP.

What This Means for XRP’s Short-Term Outlook

According to CrediBULL Crypto, XRP could face further downside pressure in the coming days. A decisive break below $2.20 would confirm this outlook, with $1.77 emerging as a crucial support level. Meanwhile, continued weakness against ETH strengthens the case for a temporary price decline.

However, the analyst reassures that the higher time frame bullish structure remains intact, meaning this pullback is likely a healthy retracement within a larger uptrend. Investors and traders may monitor key demand zones as potential entry points for long-term accumulation.

Final Thoughts

As XRP navigates a short-term correction, traders are closely watching for support levels to hold before a potential price rebound. While short-term volatility remains, the broader outlook for XRP remains bullish, provided key support zones hold firm.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research before making investment decisions.