XRP Price Today Dips 8%, Key Support at $3 Under Threat

XRP price today appears to be struggling near a key support level of $3. As per the daily chart, the asset has been in a continuous downtrend for the past two weeks and has now formed a bearish pattern.

XRP Price Today and Rising Volume

According to the CoinMarketCap data, XRP price today stands at $2.92 and has slipped 8% over the past 24 hours. Despite the asset price continuing to fall with a bearish outlook, the investors and traders’ participation has soared significantly.

Data shows that XRP’s 24-hour trading volume has soared by 42% from the previous trading day. This surge in the trading volume, along with a price dip, suggests a strong downside momentum in the asset, and it’s a bearish sign for the token holders.

XRP Price Action and Key Levels to Watch

According to the expert technical analysis, XRP price, with today’s price decline, has broken down the neckline of the bearish cup and handle price action pattern.

However, instead of moving downside, it immediately reclaimed the breakdown level by forming a bullish hammer candle. This formation of a candlestick pattern at the key level appears to be an optimistic sign for the XRP token holders, as it hints at potential recovery from this level.

Based on recent price action, in XRP $2.95 level is a crucial level for the asset. If the downside momentum continues and price breaks down and further closes a four-hour candle below this level, it will be a bearish signal.

If this happens, the XRP price could witness a dip of over 15% and the price in this case drops to the $2.60 level.

Moreover, if the XRP price today sustains this $3 and $2.95 level, it could push the asset to either climb to $3.20 level or continue to move sideways until major sentiment shifts.

Technical Indicators and Expert’s Comment

The technical indicator Supertrend is in green, flashing a bullish signal at press. In the current market sentiment, it’s a sign of a potential price recovery.

Whereas XRP’s Relative Strength Index (RSI) stands at 53, this suggests that the asset is neither in an overbought territory nor in the oversold territory; in this case, traders and investors’ activity and market sentiment push the asset in either direction.

Given the current market sentiment, a well-followed crypto expert shared a post on X (formerly Twitter) that XRP isn’t just another altcoin. In the post, the expert noted that support around $2.40 looks solid, but if the downside momentum continues, it will dip lower, $2.00 is a strong bounce zone.

However, this prediction could only be validated if the asset price falls below the $2.95 level and fails to execute.

$35 Million XRP Flows Out of Exchanges

The investors seized this recent dip and the long-term holders, as they appear to be stacking the tokens. The on-chain analytics tool Coinglass reveals that exchanges across the globe have witnessed an outflow of $35.63 million of XRP tokens in the past 24 hours.

Token outflow from the exchanges is a bullish sign, as it shows investors have been withdrawing the asset from the exchanges, potentially hinting at an accumulation.