Will XRP rise back to $2.5 by the end of the month?

XRP has lost 5% of its value in the past week, indicating a struggle in its recovery efforts as technical signals continue to diverge. The Relative Strength Index (RSI) has dropped below the neutral mark of 50, while the price remains trapped in a narrow zone between key support and resistance levels.

Notably, the Ichimoku cloud has started to turn red, with the future cloud becoming increasingly thick — a sign that selling pressure is building up. In the context of a calming market with low volatility and weakening momentum, XRP is gradually approaching a decisive threshold, where a strong breakout — or a deep correction — could occur soon.

XRP struggles to regain momentum as RSI falls below 50

The Relative Strength Index (RSI) of XRP is currently at 44.54, after recovering from a daily low of 40.67. Just a day earlier, this index had reached 51.30 — indicating a strong fluctuation in the short term is becoming increasingly evident.

RSI is a momentum measurement tool that reflects the speed and degree of recent price changes to determine whether an asset is in an overbought or oversold state.

Relative Strength Index (RSI) of XRP | Source: TradingViewTypically, when the RSI exceeds 70, it indicates that the asset is overbought; conversely, when it drops below 30, this is a sign that selling pressure is prevailing.

With the current RSI level at 44.54, XRP is in a neutral zone, showing no clear signs of buying or selling pressure. However, the fact that this index has not exceeded the 70 mark since March 19 — which is more than a month — indicates that the upward momentum still lacks sustainable drive. This may reflect a prolonged accumulation phase, as the market is still hesitant and waiting for a clearer signal regarding the next trend.

If the RSI can recover to the 50 level and continue to rise, this could be a sign that momentum is gradually forming again. Conversely, if it cannot break through the 70 mark, the upside potential of XRP in the short term will continue to be limited.

XRP faces uncertainty as the downtrend begins to extend

Currently, XRP is fluctuating within the zone of the Ichimoku Cloud indicator – a clear signal indicating the hesitative sentiment and balanced state of the market.

The Tenkan-sen ( blue line has just crossed below the Kijun-sen ) red line, signaling a bearish trend. However, as the price is still within the cloud, this signal is not strong enough to confirm the trend.

The Ichimoku Cloud indicator on the XRP/USDT 4-hour chart | Source: TradingViewThe cloud is currently acting as a dynamic support and resistance zone, with XRP moving sideways within the range of the cloud – indicating a tug-of-war between buyers and sellers.

Notably, the cloud in front has changed from blue to red – a sign that a downward trend is gradually forming. More concerning, the red cloud is thickening and expanding, indicating that selling pressure may continue to increase in the near future.

A thick red "cloud" often acts as a strong resistance zone, and if the price breaks below the cloud, it is highly likely that the downtrend will continue.

As long as the price has not decisively escaped the cloud zone, the market will remain in a waiting state. However, the spread of the red cloud is causing the balance to tilt towards a more negative scenario.

XRP in the price compression zone: A breakout could push the price up to $2.50 – or drop deeper

The price of XRP is currently fluctuating within an extremely narrow trading range, trapped between a key support level at $2.05 and strong resistance at $2.09. This tightening indicates that the market is in a state of hesitation, lacking clear momentum in the short term. However, a decisive breakout in either direction could serve as a catalyst, opening up a new trend for this altcoin.

In a negative scenario, if the $2.05 threshold is breached, the next support zone to watch will be $1.96. Losing this level could trigger a deeper sell-off, pulling the price down significantly to the $1.61 zone — marking the first time XRP closes below $1.70 since November 2024. This would be a clear bearish signal, capable of creating panic sentiment in the market.

XRP/USDT chart 4-hour | Source: TradingViewThe recent warning from veteran analyst Peter Brandt has further raised concerns, as he suggests that XRP may soon enter a large-scale correction.

On the contrary, if the bulls regain control and push the price above the resistance of $2.09, the nearest target will be $2.17. Once this level is conquered, XRP could gain momentum to advance to the zone of $2.50 — a price level that has not been reestablished since March 19. However, for this scenario to materialize, the market needs to witness a significant recovery in both momentum and trading volume.

Until there is a clear confirmation signal, XRP will remain held in the price compression zone, with the potential to break out in either direction being equal.

Disclaimer: This article is for informational purposes only and is not investment advice. Investors should do thorough research before making decisions. We are not responsible for your investment decisions.

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