Key Takeaways
- XRP price must break above $3 for strong bullish sentiment, as the price has struggled to break above its $2.5 resistance.
- Economic factors like the US tariff hike affect the crypto market, leading to bearish sentiment for XRP.
- XRP breaking below its 200-day EMA price of around $1.85 could see sell panics overtake prices in lower regions.
The cryptocurrency market has experienced quite a challenging start to 2025. In the past few weeks, the prices of digital assets have moved in constant ranges despite price bounces around the market. This movement was short-lived, as the price quickly went back to its range.
A major cryptocurrency asset, XRP, has gained much attention in the past few weeks after resolving its US SEC lawsuit. Expectations were high for the top-performing crypto asset to fly to new highs, but the price continues to struggle, as it has failed on several occasions to break above $3.
The price of XRP not having a real headway and price consolidating for weeks now shows indecision powered by uncertainty as buyers and sellers struggle for dominance.
Crypto Market Sentiment
Recent XRP price movement has been affected by economic factors such as US President Donald Trump’s high tariff hikes. This has affected the price of cryptocurrency assets in recent times, with traders and investors playing it safe.
Despite market uncertainties affecting big market cap assets like XRP, top crypto analyst Ali Martinez has hinted on his X post that XRP currently forms a head and shoulder pattern with the right shoulder almost complete as price breaking its neckline of $2 and retesting this region could lead to more price decline and XRP bears dominating price.
The XRP price prediction for 2025 could suffer a fresh setback if the price of XRP trades lower than $2, which could affect the short-term market sentiment and the market structure of XRP. Overall, market sentiment remains bullish ahead of speculation for a rally toward a new all-time high of $5.
XRP Price Analysis
Source – XRP 1D Price Chart From TradingView
XRP is currently in a downtrend. Its price trades below its 50-day EMA (Exponential Moving Average), which acts as short-term resistance corresponding to its price of around $2.5. The price sits just above its 200-day EMA, which supports it.
A close below its 200-day EMA for the XRP price could see it trade towards a lower region of $1.6 as bears would take advantage of this, causing sell panics for XRP holders. The price of XRP in the current region suggests that XRP bulls and investors need to step in to protect it from trading lower, as this could further affect the overall market sentiment of XRP.
If the price of XRP trades below $1.85, bears would push the price lower; a break and close above $3 for XRP price would see strong bullish price action to the upside and a potential $5 price potential, creating a new historical high.
