XRP Price Near $2 Again as Traders Weigh Bullish and Bearish Outcomes

XRP is once again hovering around the critical $2 price level, a zone that has repeatedly shaped market sentiment over the past several months. After a prolonged corrective phase, the XRP price has stabilized near the lower boundary of its declining channel, leaving traders and investors closely watching for signs of either continuation or reversal. While the setup is familiar, the outcome remains uncertain, making this level especially important for near-term price action.

At present, XRP is trading below all major moving averages, including the 50-day, 100-day, and 200-day lines. These averages are still sloping downward, signaling that any upward move would initially be classified as a countertrend rally rather than a confirmed trend reversal. This technical structure highlights the fragile state of momentum, even as some early improvements begin to emerge.

Volume data shows the first signs of expansion after a period of stagnation, suggesting that market participation may be slowly returning. Additionally, the Relative Strength Index has rebounded from oversold conditions, pointing to modestly improving momentum. However, XRP’s overall technical structure remains vulnerable, and bulls will need to prove strength through sustained demand.

In a bullish scenario, XRP holds above channel support and gradually pushes higher. A decisive break above short-term resistance could open the door to testing the 26-period and 50-period moving averages, reducing immediate selling pressure. If this move is supported by rising volume, XRP could revisit the $2 level relatively quickly. Even a temporary reclaim of $2 could act as a liquidity magnet and significantly improve market sentiment without requiring a full trend reversal.

On the bearish side, failure to clear moving average resistance could result in another lower high. This would likely trigger a retest of recent lows, reinforcing the broader downtrend. In that case, the $2 level remains out of reach due to weak momentum, declining volume, and fading buyer confidence, leading to further sideways or downward price movement.