XRP traded near $1.92 on Dec. 17 after rebounding from recent lows, but analysts warn the recovery remains fragile. Several market observers say the token must defend current levels to avoid a much deeper correction, even as others point to early signs of accumulation and longer-term recovery potential.
XRP fell nearly 6% during the early-week market pullback, briefly losing the $2.00 support level and sliding to a multi-week low near $1.88. The move pushed the token below the lower boundary of its month-long $2.00–$2.25 trading range.
The $1.85–$1.90 zone has acted as a key support area since XRP’s breakout in November 2024, with price rebounding from the region after each major correction. However, analysts caution that repeated tests weaken support over time.
Analysts Warn of 50% Downside if Support Breaks
Technical analyst Ali Martinez said XRP has now slipped below its one-year trading range, which he places between $1.92 and $3.27. According to Martinez, XRP needs to secure a daily close above $1.92 to avoid a deeper move lower.
If the level fails, Martinez warned that XRP price could revisit the $1 area, implying a potential 50% downside from current prices — levels last seen in early 2024.
Similarly, Cheds Trading said XRP is approaching a “high-timeframe breakdown.” He pointed to a potential rounding top or double-top formation, noting that a confirmed loss of $1.88, where the pattern’s neckline sits, could open the door to a measured move toward the 200-day moving average near $1.
Bullish Analysts See Accumulation, Not Breakdown
Despite the caution, other traders argue XRP is stabilizing rather than collapsing. Trader Niels said XRP is once again sweeping liquidity near the $1.80 support zone while showing bullish divergence on the daily chart, a setup that can precede relief rallies.
Niels said a break above $2.20 could allow XRP to climb 27%–37%, targeting the $2.80–$3.00 region within weeks, provided broader market conditions improve.
Another analyst, ChartNerd, noted similarities between XRP’s current structure and its 2023–2024 accumulation phase, which preceded the sharp breakout in late 2024. He suggested XRP may continue consolidating before entering a new markup phase.
Regardless of how ugly or constructive the consolidation becomes, a larger markup phase similar to November 2024 could still unfold between now and late 2026.
ChartNerd said.
XRP ETF Inflows Fail to Shift Weak Market Structure
The mixed outlook comes despite steady inflows into spot XRP ETFs, which have recorded 18 consecutive days of positive closes. Analysts caution that ETF demand alone has not translated into sustained price strength.
Market commentator Efloud said XRP’s chart structure remains weak, noting that the token has lost key daily imbalance zones. He added that unless XRP reclaims important resistance levels, including $1.98, upside moves are likely to remain short-lived.
Efloud also said that if selling pressure accelerates, the $1.53 area could emerge as a potential accumulation zone, though he stressed this was a hypothetical scenario rather than a price target.