XRP Rejects Again, Short-Term Outlook Dims

XRP Faces Another Rejection as Short-Term Outlook Weakens

XRP’s recent attempt at a rebound has faltered, pushing the cryptocurrency’s price back towards the $1.28 mark and a critical demand zone. The rejection from descending resistance suggests the prevailing bearish trend remains intact, with buyers needing to demonstrate significant strength to avert further price declines.

On the daily chart, XRP continues to trade within a descending channel established after its September peak. A recent recovery attempt towards the $1.37-$1.40 range met the upper boundary of this channel before reversing, reinforcing a pattern of lower highs. Subsequent bearish candles have driven the price back into the $1.25-$1.32 demand zone.

While this region previously facilitated a notable rebound, the latest test indicates buyers have struggled to sustain upward momentum. A decisive daily close below $1.25 would signal a loss of this demand zone, potentially opening the door for a move towards $1.20, followed by the next support area identified between $1.09 and $1.14.

Conversely, if XRP can hold this demand level and reclaim $1.32, it would represent an initial improvement. However, to disrupt the bearish structure, Ripple would still need to overcome the descending resistance and the recent rejection point around $1.37-$1.40. Beyond that, the broader supply zone between $1.48 and $1.53 looms as a significant obstacle.

The 4-hour chart reveals a liquidity sweep above the prior high near $1.39. The asset briefly breached this level, entering the $1.38-$1.40 supply zone, where the descending channel resistance added further confluence. The swift reversal back below the previous high suggests a failed breakout and a resurgence of bearish momentum.

Currently, XRP is testing the upper boundary of the $1.25-$1.28 demand zone. While a limited bounce is possible, the rapid decline and the absence of sustained buying pressure indicate that another test of $1.25 remains the primary near-term risk. A breach of this level could lead to fresh lows and potentially extend the downward move towards the channel’s lower trendline.

For buyers to improve the short-term outlook, XRP must recover the $1.30-$1.32 area and establish a higher low. A subsequent break above the descending resistance would alleviate immediate selling pressure, although the $1.38-$1.40 supply zone remains the key hurdle for a more convincing reversal.