Is XRP price going to crash again?

XRP (XRP) price has dropped 17% over the last seven days and 27% in the past month, losing several key support levels along the way.

This has left market participants wondering whether XRP’s price could drop further in the coming days.

XRP price levels to watch under $2.40

XRP’s latest price crash saw it lose key support levels, including the 100-day simple moving average (SMA) at $2.43 and the $2.40 psychological level.

Related: XRP open interest drops to 2025 low — Are altcoin traders giving up?

Traders are now focused on key areas below this level, which XRP might revisit if the ongoing bearishness persists.

Notably:

XRP’s first area of interest remains between its previous range low at $1.90 (formed on Dec. 9, 2024) and the recent range low at $2.06 (reached on Feb. 25).

XRP will potentially target the liquidity cluster inside this range if support at $2.15 is lost.

An immediate reprieve for the bulls would be a sharp reversal from this range, which will indicate buying interest below $2.40.

Otherwise, XRP could drop lower to retest the fair value cap between $1.51 and $1.82, formed during the rally between November and December 2024.

Note that the 200-day SMA sits just below this range, suggesting a strong demand zone just above $1.50.

The area above $2.00 represents a strong support zone for XRP, according to pseudonymous analyst Cvotrades, who says losing this will lead to a drop to $1.70.

“Watch the weekly close. If it’s below $2.09, then it sweeps $1.77.”

XRP price bear flag hints at $1.73

From a technical perspective, XRP trades within a bearish continuation pattern that indicates more downside ahead despite the ongoing consolidation.

Key points:

XRP is trading within a bear flag pattern in the four-hour timeframe, indicating the possibility of continuing with the downward momentum if key support levels don’t hold.

The bear flag developed after XRP’s drop from $2.60 to a local low of $2.06 between Feb. 24 and Feb. 25.

The consolidation within the bear flag has XRP trading in an ascending parallel channel, with the price testing critical support levels today, including the lower boundary of the flag at $2.20.

A breakdown of this level could trigger another price crash.

The bear flag’s downside target, derived from the height of the previous drop, is approximately $1.73, representing a 22% downtick from the current price.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.